Equities in Canada’s largest market fell on Tuesday after a long weekend, dragged by materials sector that shed 2.2% on weaker bullion and copper prices.
The TSX began a short week down 81.69 points to 16,481.12.
The Canadian dollar subtracted 0.14 cents to 76.11 cents U.S.
Equity markets were shuttered Monday in Canada for Thanksgiving.
The largest percentage gainers on the TSX were Aphria, which jumped 35 cents, or 4.7%, to $7.88, and BlackBerry, which rose 41 cents, or 6.5\%, to $6.63.
Air Canada has slashed its price to buy tour operator Transat A.T., with the deal now worth about $188.7 million down from $720 million, as COVID-19 weighs on travel demand, the companies said in a statement on Saturday.
Shares in the Maple Leaf Airline descended 30 cents, or 1.9%, to $15.79.
RBC raised the target price on CCL Industries to $63.00 from $58.00. CCL shares gave up six cents to $51.68.
National Bank of Canada raised the target price on MTY Food Group to $49.00 from $35.00. MTY shares climbed 76 cents, or 1.8%, to $43.96.
RBC raised the target price on Winpak to $47.00 from $45.00. Winpak shares took on 10 cents to $44.60.
ON BAYSTREET
The TSX Venture Exchange lopped off 4.79 points to 727.46.
The 12 TSX subgroups were divided equally first thing Tuesday, with health-care up 1.2%, information technology gaining 0.9%, and communications progressing 0.5%.
The half-dozen laggards were weighed most by materials, subsiding 2.3%, gold, down 2%, and consumer discretionary, off 0.9%.
ON WALLSTREET
Stocks fell slightly on Tuesday as investors digested the first batch of corporate earnings and looked for updates on a stimulus package.
The Dow Jones Industrial Average faded 98.96 points to begin Tuesday at 28,738.56.
The S&P 500 retreated 9.99 points to 3,524.23.
The NASDAQ gained 9.93 points to 11,886.18.
JPMorgan Chase reported better-than-expected results for the third quarter. Johnson & Johnson, another Dow component, posted earnings that beat analyst expectations and raised its full-year profit guidance. However, J&J shares were down 2% after the company paused its coronavirus vaccine trial after an "adverse event" was reported.
Asset-management giant BlackRock saw its shares gain 2.8% after the company reported earnings that beat analyst expectations. BlackRock also said its assets under management grew to $7.81 trillion from $7.32 trillion in the previous quarter. Shares of Citigroup also rose after beating estimates for revenue and earnings.
Delta Air Lines, however, reported a wider-than-expected loss for the quarter and revenues down 75% compared with the same quarter last year. Shares fell 1.9%. Third-quarter results overall are expected to decline significantly; however, traders are hoping for surprise to the upside.
On Monday, investors rotated out of cyclicals and into technology names after little updates on a fiscal aid package were revealed. The Dow Jones Industrial Average climbed 250 points and the S&P 500 gained 1.64%, both helped by a 6.4% jump in Apple’s stock. With technology stocks leading the way, the Nasdaq Composite gained 2.56% on Monday, for its best day since September 9.
Apple’s long awaited iPhone launch, which was pushed to October due to Covid-19, occurs on Tuesday and the company is expected to launch its first ever 5G iPhone. It will be "the most significant iPhone event in years," Morgan Stanley’s Katy Huberty told clients. The stock fell more than 1% on Tuesday.
Amazon’s Prime Day starts on Tuesday and the two-day event could mark the biggest online shopping day of the year, according to NPD, with 57% of consumers planning to do some if not all of their holiday shopping this week. Amazon shares dipped 0.2% Tuesday following a 4.8% pop on Monday.
Disney rallied more than 3% after announcing a major company reorganization with streaming at the forefront of its business. Disney said it centralizing its media businesses into a single organization that will be responsible for content distribution, ad sales and Disney+.
Investors also weighed the possibility of a second coronavirus relief package from Washington. Over the weekend, the Trump administration called on Congress to pass a smaller $1.8-billion coronavirus relief bill as negotiations on a bigger package continue to run into roadblocks. However, House Speaker Nancy Pelosi in a letter to colleagues, said the proposition has insufficient offers on healthcare issues.
The U.S. Labor Department also released its consumer price index for September. The measure met expectations with an increase of 0.2%, though prices for used cars rising sharply.
Prices for the 10-Year Treasury gained sharply, lowering yields to 0.73% from Monday’s 0.77%. Treasury prices and yields move in opposite directions.
Oil prices were up 73 cents at $40.16 U.S. a barrel.
Gold prices spiked $36.10 to $1,892.80 U.S. an ounce.
