Markets in Canada’s fell on Wednesday as energy and financial stocks retreated, pressured by lower oil prices and disappointing data from China which weighed on global markets.
The S&P/TSX Composite Index dropped 82 points to open Wednesday at 13,985.78,
The Canadian dollar slid 0.06 cents to 76.31 cents U.S.
Husky Energy, the country’s number-three integrated oil company, expects to generate free cash flow and may reinstate a cash dividend as crude oil prices have rallied in recent weeks.
Husky shares dipped nine cents to $15.05.
Valeant Pharmaceuticals, which has come under scrutiny for its business and accounting practices, said on Tuesday it would host a conference call on June 7 to discuss first-quarter results.
Valeant saw its shares hiked 94 cents, or 2.5%, to $38.36.
Barclays raised the target price on Bank of Nova Scotia to $55.00 from $51.00.
Scotiabank shares backtracked seven cents to $64.07.
Canaccord Genuity cut the rating on Bankers Petroleum to hold from buy.
Bankers shares were cheaper by two cents to $2.03.
National Bank Financial resumes coverage on Crombie REIT, with an outperform rating. Crombie units added two cents each to $14.68.
On the economic slate, RBC reported that its RBC Canadian Manufacturing PMI came in at 52.1 during May, above the neutral 50.0 mark and only fractionally lower than the 16-month high of 52.2 recorded in April.
ON BAYSTREET
The TSX Venture Exchange added 0.18 points to 678.27
All but three of the 13 TSX subgroups moved lower in the first hour, as metals and mining doffed 2.9%, energy lost 2.2%, and financials were poorer by 0.6%.
The three gainers were gold, shining 1.7% brighter, materials, up 0.3%, and telecoms, up 0.1%.
ON WALLSTREET
U.S. stocks traded lower Wednesday, the first trading day of June, after key manufacturing data.
The Dow Jones Industrials dwindled 60.16 points to 17,727.04, with Goldman Sachs weighing the most.
The S&P 500 stepped back 8.6 points at 2,088.36. Energy and financials were among the greatest laggards in the S&P 500
The NASDAQ Composite subtracted 6.4 points to 4,941.63
The ISM manufacturing PMI was 51.3 in May. Consensus estimates from Reuters expect a 50.5 print, barely in expansion territory and off slightly from the previous month's 50.8 read.
April construction spending fell 1.8%.
The final read for May on Markit's manufacturing PMI was 50.7. The flash read was 50.5, down from 50.8 in April.
Other economic data scheduled for release include the Fed's Beige book and May auto sales.
Prices for the 10-year Treasury gained ground, lowering yields to 1.82% from Tuesday’s 1.85%. Treasury prices and yields move in opposite directions.
Oil prices plunged $1.08 a barrel to $48.02 U.S.
Gold prices regressed $3.10 to $1,212.22 U.S. an ounce.
