Companies in Canada’s largest market bravely climbed toward breakeven Tuesday, falling only so short, as weakness in telecoms and tech issues weighed down the main market.
The TSX lost 39.75 points to 30,036.46.
The Canadian dollar ballooned 0.36 cents to 71.53 cents U.S.
Prime Minister Mark Carney squeaked through his first major political test on Monday, as Parliament narrowly approved his debut budget - averting the prospect of a second election in less than a year.
The economic blueprint, aimed at steering Canada through a turbulent global trade environment, doubles the fiscal deficit to counter U.S. tariffs while funneling fresh spending into defense and housing programs. Investors were lukewarm when the plan first surfaced.
Financial Times reported that activist hedge fund Elliott Management has built a large stake in Barrick Mining, which puts it among the miner's 10 largest investors.
Barrick shares gained 78 cents, or 1.5%. to $52.76.
Telus Corp shares fell $1.06, or 5.3%, to $19.00, after JP Morgan downgraded the telecommunication company to "underweight" rating from "neutral."
Elsewhere in telecoms, Cogeco Communications ditched 84 cents, or 1.3%, to $64.62.
In techs, Celestica plummeted $15.18, or 3.5%, to $419.27, while Docebo disposed of 93 cents, or 3.1%, to $28.93.
Industrials fared badly, too, as Atkins-Realis shed $3.50, or 4%, to $84.75, while shares in Stantec dumped $4.05, or 2.9%, to $135.40.
Energy issues led the gainers, with Peyto Exploration surging $1.12, or 5.3%, to $22.40, while Birchcliff Energy rumbled 37 cents higher, or 5.4%, to $7.26.
In health-care issues, Chartwell Retirement Residences took hold of 58 cents, or 2.9%, to $20.54. while Sienna Senior Living captured 38 cents, or 1.9%, to $20.49.
Gold stocks made a game of it, with Novagold picking up 25 cents, or 2.1%, to $12.22, while Seabridge Gold jumped 76 cents, or 2.3%.
On matters macroeconomic, Canada Mortgage and Housing Corporation reported its seasonally adjusted annualized rate of housing starts dropped to 232,765 units from a revised 279,174 units in September. Economists had expected starts to fall to 265,000.
ON BAYSTREET
The TSX Venture Exchange advanced 8.01 points to 867.66.
The 12 TSX subgroups were split evenly between gainers and losers, as telecoms faltered 1.3%, while industrials slid 0.9%, and information technology dawdled 0.8%.
Energy led the half-dozen gainers, surging 1.9%, while health-care issues progressed 1.1%, and gold shone brighter 0.9%.
ON WALLSTREET
Stocks fell again on Tuesday after tech shares continued to retreat on concerns about valuations of artificial intelligence-related stocks and as bitcoin dropped briefly below $90,000, a sign of reduced risk-taking by investors.
The Dow Jones Industrials index surrendered 498.56 points, or 1.1%, to 46,091.68,
The S&P 500 dumped 55.09 points to 6,617.32, putting it on pace for its fourth straight losing session, which would be its longest slide since August
The NASDAQ subtracted 276.23 points, or 1.2%, to 22,432.85.
The day’s moves were pressured by AI chip darling Nvidia, which fell more than 2%, and fellow “Magnificent Seven” members Amazon and Microsoft. Amazon was last down 4%, while Microsoft slumped 2%.
Nvidia has plummeted 10% this month leading up to the chipmaker’s third-quarter results due after Wednesday’s close.
The company, which is reporting toward the end of a strong earnings season, has been at the center of a debate about the strength of the AI-powered market rally this year, as concerns have grown about pricey tech valuations and the soundness of AI fundamentals due to a boom in Big Tech debt offerings.
A big AI partnership announced Tuesday failed to lift related stocks like such deals have in the past. AI-startup Anthropic said it will spend $30 billion with Microsoft and, in turn, Microsoft and Nvidia will invest billions in Anthropic. Nvidia and Microsoft remained deep in the red following the deal.
Alphabet CEO Sundar Pichai told the BBC that part of today’s AI boom did have some “irrationality” and that no company “is going to be immune” if the bubble burst.
Bitcoin dropped below $90,000 on Tuesday, continuing its slide from a record $126,000 reached in early October. Many tech investors also have large cryptocurrency holdings so the decline raised worries that a bigger stock market drop may follow. Bitcoin was last trading just above $91,000.
Outside of tech, Home Depot shares declined after the home improvement reported an earnings miss and cutting its full-year outlook.
Prices for the 10-year Treasury edged up slightly, lowering yields to 4.12% from Monday’s 4.14%. Treasury prices and yields move in opposite directions.
Oil prices gained back 90 cents to $60.81 U.S. a barrel.
Gold prices stepped back $4.10 to $4,070.40 U.S. an ounce.
Slide Continues for Dow, Down Nearly 500
