Stocks in Toronto opened lower on Tuesday after a long weekend, as the International Monetary Fund cut its projected global output for 2012 for the second time since April.
The S&P/TSX composite index opened a short week off 71.10 points to 12,347.89
The Canadian dollar gained 0.03 cents to 102.40 cents U.S.
Health-care stocks took an early beating, as Catamaran Corp. sank nearly 2% at the open.
Material issues also fell, as NovaGold Resources took a pasting of 3.5%.
Only global base metals held out against the general negative trend, with Globe Specialty Metals ahead 2.4%.
Stock markets were closed in Canada Monday for Thanksgiving
On the economic calendar, Canada Mortgage and Housing Corporation reported this morning that he annual rate of housing starts declined in September to 220,215, down from 225,328 a month earlier.
ON BAYSTREET
The TSX Venture Exchange slipped 5.22 points to 1,339.76
All but one of the 14 Toronto subgroups were down to begin the day, weighed mostly by health-care and material issues, each down 0.9%, while information technology caved in 0.8%.
The lone holdout was global base metals, up 0.8%.
ON WALLSTREET
Stocks opened slightly weaker Tuesday as investors gear up for the unofficial start of the third-quarter earnings season, but the Dow and S&P 500 continue to hover near five-year highs.
The Dow Jones Industrial average slid 1.84 points, to open at 13,581,80
The S&P 500 backpedaled 2.17 points to 1,453.71, while the tech-rich Nasdaq lost 19.14 points to 3,093.22
In fact, the Dow is just 4% away from its all-time closing high of 14,164.53, reached exactly five years ago today, while the S&P 500 is about 7% away from its record closing high of 1,565.15.
The Nasdaq has been trading near its highest levels since November 2000, but has a ways to go before it reaches its record high above 5,000 reached in March 2000.
U.S. stocks have made a considerable comeback after hitting lows in March 2009 following the financial crisis. The gains have been largely fueled by stimulus measures from the Federal Reserve, as well as strengthening balance sheets in Corporate America.
Corporate America will be back in the spotlight over the next few weeks as companies open up their books. Analysts are expecting third-quarter earnings for the S&P 500 to decline 1.4%, according to S&P Capital IQ. That would be the worst results for stocks since the third quarter of 2009.
Aluminum producer Alcoa, considered a bellwether of the economy because of its global reach, will be the first Dow component to report after the bell.
Also on tap to report Tuesday is KFC and Taco Bell owner Yum Brands, which has a big presence in China. The week will culminate with the first big bank earnings: JPMorgan Chase and Wells Fargo are both set to report before the market opens on Friday.
Late Monday, the International Monetary Fund projected world economic growth of 3.3% this year and 3.6% next year. It also said Italy, Spain and others will likely miss budget deficit targets this year.
The price of the benchmark 10-year U.S. Treasury rose, pushing the yield down to 1.72% from 1.75% late Friday. The bond market was closed on Monday for the Columbus Day holiday.
Oil prices regained $1.11 to $90.44 U.S. a barrel.
Gold prices were unchanged at $1,775.70 U.S. an ounce.
