Equities in Canada’s largest centre fell for the third straight day on Monday, as an escalating trade spat between the United States and China had investors worrying about the damage it could cause to global economic growth.
The S&P/TSX Composite Index plummeted 104.14 points to finish Monday at 16,193.41, still off its lows of the morning.
The Canadian dollar inched ahead 0.01 cents to 74.24 cents
The worst showing was turned in by health-care stocks, as Bellus Health lurched lower seven cents, or 4.8%, to $1.39, while ZymeWorks declined 53 cents, or 2.2%, to $23.88.
Among consumer discretionary stocks, Ritchie Bros. Auctioneers dove $1.31, or 2.9%, to $43.61, while Canada Goose Holdings tumbled to earth $4.82, or 7%, to $63.85.
In the energy sector, Imperial Oil dropped 58 cents, or 1.4%, to $37.37, while Canadian Natural Resources slid $1.32, or 3.5%, to $36.64.
Gold did its best to lift the index, as Barrick Gold jumped 52 cents, or 3.2%, to $16.61, while Kinross Gold acquired 20 cents, or 4.9%, to $4.28.
Real-estate was in positive territory, too, as units of Crombie Real Estate Investment Trust gathered 47 cents, or 3.2%, to $15.14, while RioCan REIT picked up 18 cents to $26.15.
Utilities were in the green as well, as Hydro One nicked up six cents to $21.97, while Fortis gained 29 cents to $50.12.
ON BAYSTREET
The TSX Venture Exchange sank 3.29 points to 596.19
The 12 Toronto subgroups were evenly divided, as some beaten-up sectors staged something of a comeback. Even so, health-care was bruised 4.4%, consumer discretionary took a 2.5% pasting, and energy was in reverse 2.3%
Gold led the half-dozen gaining sectors, ahead 3.6%, while real-estate towered 0.6% higher, and utilities clicking 0.5% better.
ON WALLSTREET
Stocks fell sharply on Monday after China decided to raise tariffs on some U.S. goods as the ongoing trade war between the world’s largest economies intensifies.
The Dow Jones Industrials plunged 617.38 points, or 2.4%, to 25,324.99, posting its worst day since January 3.
The S&P 500 dropped 69.53 points, or 2.4%, to 2,811.87, also its worst day since early January.
The NASDAQ Composite slumped 269.92 points, or 3.4%, to 7,647.02, its biggest one-day loss of the year
China will hike tariffs on $60 billion worth of U.S. imports, starting on June 1. The goods targeted include a broad range of agricultural products. This comes after President Donald Trump raised tariffs on Chinese imports last week.
China said in a statement that the U.S.' decision jeopardized the interests of both countries and does not meet the “general expectations of the international community,” according to a Google translation.
Trade bellwether Caterpillar fell 4.6% while Apple dropped 5.8%. Boeing shares declined 4.9% amid speculation the airplane maker could be singled out by China in the trade war. The utilities and real estate sectors, considered by investors to be defensive spaces in the market, were the only ones in the S&P 500 to close higher on Monday.
UnitedHealth Group and Chevron are the only two Dow members to have posted gains since trade tensions ratcheted up last week. In that time, the two shares are up around 3%. Meanwhile, the Dow is down more than 4%.
Prices for the benchmark 10-year U.S. Treasury moved sharply higher, lowering yields to 2.40% from Friday’s 2.47%. Treasury prices and yields move in opposite directions.
Oil prices moved downward 82 cents to $60.84 U.S. a barrel.
Gold prices added $13.30 to $1,300.70 U.S. an ounce.
