Canadian stocks slumped a fifth day on Tuesday, extending losses after reaching a month low, amid a resurgence in concern over slowing economic growth in China.
The S&P/TSX composite index lost 70.99 points to close at 13,411.63. The index has lost 8.7% this year, trailing only Singapore and Greece among developed markets.
The Canadian dollar grew 0.13 cents at 75.39 cents U.S.
Base metals and coal producer Teck Resources Ltd. dropped 3% to $6.77, as zinc traded at a six-year low, leading declines in industrial metals.
Amaya Inc., the online gambling purveyor, plunged 32.4% to $21.10, after cutting its revenue and earnings expectations for the year.
The strengthening U.S. dollar, especially against the euro, has significantly crimped consumer purchasing power and curbed revenue, the company said.
Intertape Polymer Group Inc. jumped 9.2% to close at $16.56. U.S. hedge funds FrontFour Capital Group and Zelman Capital are agitating for change at the company, urging the board to consider ways to unlock value including a possible sale of the Quebec-based packaging company.
Valeant Pharmaceuticals International Inc. dropped 2.2% to $110.76. The drugmaker said in a conference call Tuesday that the decision to cut ties with pharmacy Philidor Rx Services would meaningfully affect its dermatology business. Valeant will also host an investor day and update financial forecasts before the end of the year. Valeant has lost 68% from an Aug. 5 high amid pressure over how it prices its drugs.
SNC-Lavalin Group rose 1.7% to $41.45. The company’s CEO said Tuesday he wants the new federal government to adopt corporate corruption settlement deals like the United States and United Kingdom have so that Canadian companies implicated in wrongdoing can quickly resolve matters and remain competitive.
The most influential movers on the index included Brookfield Asset Management Inc, which rose 2.4% to $44.28, and First Quantum Minerals Ltd, which declined 6.6% to $6.21.
ON BAYSTREET
The TSX Venture Exchange dropped 2.24 points to 531.48
All but three of the 13 TSX subgroups were lower, as metals and mining journeyed downward 3.4%, gold slid 2.2%, and materials lost 2.1%
The three gainers were utilities, up 0.5%, while financials and real-estate each picked up 0.1%.
ON WALLSTREET
U.S. stocks closed narrowly mixed Tuesday, pressured by a more than 3% decline in Apple.
The Dow Jones industrial average moved into the green 27.73 points to finish at 17,758.21, with Apple leading decliners and Visa the greatest advancer.
The S&P 500 fought its way up 0.54 points to 2,079.12, with health-care leading seven sectors higher and materials the greatest laggard.
The NASDAQ index stumbled 30.61 points to 5,064.70, as declines in Apple and semiconductor stocks weighed.
Apple was the greatest weight on the Dow, with the stock briefly trading more than 3.5% lower after a Credit Suisse report said the iPhone maker has cut as much as 10% of its component orders.
McDonald's stock touched a record high after reopening higher following news the fast food giant is not pursuing a REIT and is raising its dividend.
Shares of General Electric hit $30 U.S. a share for the first time in intraday trade since Aug. 18, 2008. The stock has not closed above that level since June 10, 2008.
Synchrony Financial will replace Genworth Financial in the S&P 500 after the close on Nov. 17, S&P Dow Jones Indices said Monday. The announcement follows the planned spinoff of GE's 85% stake in Synchrony.
Import prices declined 0.5% in October, while export prices fell 0.2%.
U.S. small business optimism was unchanged at 96.1 in October, with hiring stagnant even as more owners expected higher sales and more planned to make capital outlays, the National Federation of Independent Business said.
Wholesale inventories rose 0.5% in September.
Overnight, data from China increased concerns of deflationary pressure in the world's second-largest economy. The country's National Bureau of Statistics reported the October consumer price index rose a less-than-expected 1.3% from a year earlier, while the producer
price index fell 5.9%for its 44th straight month of decline.
Prices for 10-year U.S. Treasuries gained ground, lowering yields to 2.33% from Monday’s 2.35%. Treasury prices and yields move in opposite directions.
Oil prices gained 28 cents a barrel to $44.15 U.S.
Gold prices demurred $3.05 to $1,089.26 U.S. an ounce.
