Canada's main stock index opened lower on Thursday as mining shares dragged, while higher chances of U.S. rate cut next month kept overall losses in check.
The TSX Composite Index slid 101.06 points to open Thursday at 23,020.67.
The Canadian dollar gave back 0.16 cents to 73.46 cents U.S.
Investors geared up for bank earnings, started by Toronto-Dominion Bank that reported a quarterly loss. TD shares retreated $2.80, or 3.4%, to $78.49.
Canadian National Railway and Canadian Pacific Kansas City shut down their rail networks in the country and locked out about 10,000 workers after labor talks with the Teamsters union failed. Shares in CN dipped 23 cents to $155.05, while those in CP dipped 52 cents to $108.00.
ON BAYSTREET
The TSX Venture Exchange fell back 6.12 points, or 1.1%, to 571.71.
Seven of the 12 TSX subgroups were down in the first hour, with gold fading 2.6%, materials sliding 2%, and financials off 0.5%.
The five gainers were led by energy, communications and health-care, each ahead 0.2%>
ON WALLSTREET
The S&P 500 sat within striking distance of record levels on Wednesday as investors look ahead to commentary from Federal Reserve Chair Jerome Powell expected later this week.
The Dow Jones Industrial index dropped 66.26 points to begin Thursday’s session at 40,829.25.
The much-broader index eked forward 0.27 points to 5,621.12.
The NASDAQ retreated 7.55 points to 17,911.44.
If Thursday ends in the green, the S&P 500 and technology-heavy NASDAQ would clinch their 10th positive day of the last 11. The blue-chip Dow could notch its seventh winning day of eight.
Market participants are turning their attention to Powell’s expected speech at the Jackson Hole Economic Symposium on Friday, hoping for further insight into rate policy. Traders are currently pricing in a 100% chance of a decrease to borrowing costs next month, but they are divided when it comes to how large the reduction will be.
Despite some choppiness, the three major indexes are all on pace to finish the week higher. The NASDAQ Composite and S&P 500 have added about 1.6% and 1.2%, respectively. The Dow has risen 0.4%.
In corporate news, software company Snowflake dropped 10% even after it beat quarterly expectations and slightly raised its full-year product revenue guidance. Urban Outfitters slid more than 13% after the retailer’s same-store sales in the second quarter disappointed analysts.
Prices for the 10-year Treasury lost strength, raising yields to 3.86% from Wednesday’s 3.80%. Treasury prices and yields move in opposite
directions.
Oil prices picked up 55 cents at $72.48 U.S. a barrel.
Gold prices sagged $35.00 to $2,512.50.
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