Canada's main stock index fell to its lowest level in nearly two months on Wednesday, dragged by financial and energy stocks, as China's retaliatory tariffs against the United States intensified fears of a trade war.
The S&P/TSX Composite Index regrouped from its lows of the morning, but stayed behind 84.94 points, to greet noon at 15,095.82
The Canadian dollar faded 0.06 cents at 78.07 cents U.S.
Health-care stocks took the biggest drops, as Aurora Cannabis lost 51 cents, or 6.3%, to $7.56, while Canopy Growth off $1.50, or 5.4%, to $26.49
Suncor Energy and Canadian Natural Resources were down about 2%, making them the biggest drags on the energy sector.
The largest percentage gainer on the TSX was Eldorado Gold, which rose 4.4% to $1.19, after an arbitration panel in Greece gave a positive ruling to build a metallurgy plant to process concentrate mined from Skouries and Olympias.
The biggest decliner was First Quantum Minerals, down 40 cents, or 2.2%, to $17.86.
Among the most active Canadian stocks by volume were Neovasc Inc, Aurora Cannabis, and Wallbridge Min.
ON BAYSTREET
The TSX Venture Exchange stumbled 15.19 points, or 2%, to 754.11
All but one of the 12 TSX subgroups were lower midday, with health-care plummeting 3.4%, while materials and financials were each down 0.9%
Only consumer staples were green, gaining 0.1%.
ON WALLSTREET
Stocks slashed a massive deficit from earlier in Wednesday's session, which took place after China announced new tariffs on 106 more U.S. products.
The Dow Jones Industrial Average came back from heavy losses early in the session, but remained in the red 91.69 points to 23,941.67,
The S&P 500 worked its way to within 4.25 points of breakeven to 2,610.20
The NASDAQ Composite index recovered from its gully and actually gained 6.75 points to break for lunch at 6,948.03
At its session lows, the Dow fell 510 points, while the S&P 500 surrendered 1.6%, and the NASDAQ plunged as much as 1.9%
China's Ministry of Commerce said the tariffs are designed to target up to $50 billion in U.S. products annually and would hit goods like soybeans and cars.
Automakers Ford and General Motors traded higher, erasing earlier losses. Boeing traded down 2.6%, off its lows.
In economic news, the ADP National Employment Report showed private companies added 241,000 jobs in March, more than the expected gain of 205,000.
The services purchasing managers' index (PMI) slipped to 54.0 in March from 55.9 in February. Meanwhile the non-manufacturing Institute for Supply Management index came in at 58.8 for last month, missing expectations.
Prices for the benchmark 10-year Treasury note lost ground gained earlier, raising yields back to Tuesday’s 2.78%. Treasury prices and yields move in opposite directions.
Oil prices slid 39 cents a barrel to $63.12 U.S.
Gold prices stayed positive $1.60 to $1,338.90 U.S. an ounce.
