Canada's main stock index fell on Tuesday, as heightening tensions in the Middle East and worries that the G20 meeting may yield little progress on the U.S.-China trade front kept investors on edge.
The S&P/TSX Composite Index tumbled 112.68 points to greet noon at 16,410.79
The Canadian dollar was up 0.09 cents to 75.95 cents U.S. Tuesday.
The largest percentage gainer on the TSX was Bausch Health, which rose 97 cents, or 3.1%, to $32.29, after the generic drug maker reduced its debt by $100 million.
Bombardier, which rose seven cents, or 3.2%, to $2.26, was among the top gainers after a deal to sell its money-losing regional jet business to Japan's Mitsubishi Heavy Industries for $550 million in cash.
Among the top losers, ATS Automation Tooling Systems Inc fell 52 cents, or 2.4%, to $21.53, after TD Securities downgraded its shares to "hold".
Also, Osisko Gold Royalties toppled 78 cents, or 5.2%, to $14.29, after a secondary stock deal
On the economic ledger, Statistics Canada said wholesale trade increased 1.7% to $65.3 billion in April, the fifth consecutive monthly increase.
The agency adds higher sales were recorded in five of seven sub-sectors, accounting for 86% of total wholesale sales in April.
ON BAYSTREET
The TSX Venture Exchange fell 7.69 points, or 1.3%, at 581.43
All but one of the 12 Toronto subgroups were lower midday, as information technology surrendered 2.4%, gold dropped 1.2%, while materials faded 0.9%.
Only health-care prospered, up 0.1%.
ON WALLSTREET
Stocks fell on Tuesday after the release of much weaker-than-expected consumer confidence data.
The Dow Jones Industrial Average remained red 58.49 points to 26,669.05
The S&P 500 sank 11.13 points to 2,934.22
The NASDAQ Composite fell 56.35 points to 7,949.35
In corporate news, AbbVie agreed to buy Botox-maker Allergan for $63 billion in cash and stock. The announcement sent Allergan soaring 30%. AbbVie shares slid 10.8%.
The Conference Board said its consumer confidence index fell to 121.5, hitting its lowest level since September 2017. Economists expected the index to slip to 131.1. The Conference Board pointed to escalating trade tensions as the culprit for the loss of confidence.
Fed Chair Jerome Powell speaks in Washington early this afternoon, at which time he is expected to discuss the Fed’s outlook on the economy and monetary policy.
Powell’s remarks come after the Fed kept interest rates unchanged last week and said it will “act as appropriate” to maintain the current economic expansion. This led traders to price in a 100% probability of the Fed cutting rates next month.
Prices for the benchmark 10-year U.S. Treasury gained ground, lowering yields to 1.99% from Monday’s 2.02%. Treasury prices and yields move in opposite directions.
Oil prices gained 20 cents to $58.10 U.S. a barrel.
Gold prices improved $14.60 to $1,432.80 U.S. an ounce.
