Canada's main stock index fell to a three-week low on Thursday in a wider selloff led by technology shares, after uninspiring earnings from Wall Street tech giants dampened overall market sentiment.
The TSX fell 360.99 points, or 1.5%, to break for lunch Thursday at 24,146.80.
The Canadian dollar slumped 0.12 cents to 71.77 cents U.S.
Canadian Natural Resources posted a drop in third-quarter profit due to a decline in production and lower crude prices. Shares in the oil giant staggered 43 cents to $47.07.
The energy sector also fell despite a rise in oil prices, driven by a slump of $1.36, or 16.2%, in Veren, the worst-performing stock in TSX today, after it reported its third-quarter results. Veren reached noon hour EDT at $7.02.
Bausch Health Companies rose $1.26, or 11.1%, to $12.63 after strong third-quarter results, making healthcare the only sector to gain with a 2.5% increase.
On the economic calendar, Statistics Canada says gross domestic product was essentially unchanged in August as increases in services-producing industries were offset by declines in goods-producing industries.
Elsewhere, other figures showed the number of employees receiving pay and benefits from their employer—measured as "payroll employment" in the Survey of Employment, Payrolls and Hours—was little changed in August (+13,500), following an increase of 39,500 (+0.2%) in July and a decline of 22,900 (-0.1%) in June. On a year-over-year basis, payroll employment was up 176,700 (+1.0%) in August.
ON BAYSTREET
The TSX Venture Exchange subtracted 14.13 points, or 2.3%, to 599.27.
All but two of the 12 TSX subgroups were in the red, with gold sliding 3.5%, while materials and information technology each weakened 3.2%
Health-care was stronger 2.4%, while utilities eked up 0.1%.
ON WALLSTREET
Stocks slid on Thursday as Wall Street digested discouraging quarterly reports from megacap technology names and awaited further results.
The Dow Jones Industrials fumbled 280.56 points at 41,860.98.
The S&P 500 index staggered 80.41 points, or 1.4%, to 5,733.26.
The NASDAQ gave up 417.29 points, or 2.2%, to 18,190.64.
Microsoft shares slid 6% after the tech giant’s revenue guidance disappointed investors and overshadowed a quarterly earnings beat. Meta Platforms dropped more than 3% after the Facebook parent missed the Street’s expectations for user growth and warning that capital expenditures will significantly rise in 2025. To be sure, Meta managed to beat on both top- and bottom-lines in the third quarter.
Big tech earnings so far this week have been a mixed bag. While Alphabet shares rose nearly 3% on Wednesday after the company reported strong revenue growth, chipmaker AMD fell more than 10% as investors were disappointed by the company’s guidance for the fourth quarter.
Tech earnings continue on Thursday with results from megacap stocks Apple and Amazon due after the bell.
The latest personal consumption expenditures price index showed inflation rose at an annualized pace of 2.1% in September, arriving in-line with estimates and moving closer to the Federal Reserve’s 2% target. The PCE reading is the Fed’s preferred inflation gauge.
Prices for the 10-year Treasury recovered strength, lowering yields back to Wednesday’s 4.28%. Treasury prices and yields move in opposite directions.
Oil prices jumped 71 cents to $69.32 U.S. a barrel.
Prices for gold cratered $51.50 an ounce to $2.749.40 U.S.
