Equities in Toronto fell 1% on Thursday, extending its losses for a third straight session and tracking foreign markets increasingly nervous about global growth.
The S&P/TSX composite index moved into noon hour negative by 108.42 points to 13,275.27
The Canadian dollar moved lower 0.19 cents at 74.88 cents U.S.
Fallout from the Volkswagen AG emissions test-fixing scandal also spilled over, with auto parts maker Magna International Inc among the biggest drags on the index.
Magna shares sank 5.7% to $58.30 as analysts noted the company's exposure to VW. CIBC cut its rating on the company to sector performer from outperformer.
Goldcorp jumped 5.7% to $17.69, while Barrick Gold surged 7% to $8.45.
The always influential Valeant Pharmaceutical International had the biggest negative pull on the in TSX, falling 3.4% to $279.88.
ON BAYSTREET
The TSX Venture Exchange eased 0.67 points to 544.54
All but two of the 14 subgroups were lower, as health-care sickened 3.4%, metals and mining sank 3%, and industrials were down 2.5%
Only gold, up 6.4%, and materials, improving 2.5%, held out against the negative tide.
ON WALLSTREET
U.S. stocks traded more than 1% lower Thursday, pressured by declines in global markets, as investors awaited a post-close speech from Fed Chair Janet Yellen.
The Dow Jones industrial average tumbled 206.51 points, or 1.3%, to 16,073.38. Caterpillar was the greatest weight on the index, briefly declining more than 7% on news the firm will cut up to 5,000 jobs and lowered guidance.
The S&P 500 wilted 21.32 points, or 1.1%, to 1,917.44,
The NASDAQ index fell 65.54 points, or 1.4%, to 4,687.20, joining the other major averages in negative territory for 2015. Apple fell 1%.
All three major averages are now more than 10% away from their 52-week highs, back in correction territory. The indexes are on track for a weekly loss of nearly 2% or more.
On the earnings front, Accenture reported quarterly profit of $1.15 U.S. per share, beating estimates by three cents, with revenue also above forecasts.
Nike, Bed Bath & Beyond, Jabil Circuit and Pier 1 Imports are all expected to come after the bell.
The Fed Chair speaks on inflation at a 5 p.m., ET, speech at the University of Massachusetts, where the audience will not be able to ask questions.
In morning U.S. economic news, durable goods showed a decline of 2%. Weekly jobless claims came in at 267,000.
August new home sales came in at 552,000.
Prices for 10-year U.S. Treasuries sparked, lowering yields to 2.10% from Wednesday’s 2.15%. Treasury prices and yields move in opposite directions.
Oil prices recovered 18 cents a barrel to $44.66 U.S.
Gold prices hiked $23.40 to $1,154.90 U.S. an ounce.
