Equities in Toronto opened lower on Wednesday, dragged down by a technology sector rout on Wall Street, though gains in gold and oil shares helped limit overall market losses.
The TSX Composite Index let go of 80.54 points to open Wednesday trading at 22,914.85.
The Canadian dollar eased 0.01 cents to 73.14 cents U.S.
In corporate news, storage company Storagevault Canada agreed to acquire two adjacent properties in southern Ontario from two arm's length vendors for $71.5 million. Storagevault shares inched up two cents to $4.70.
On the economic beat, foreign investment in Canadian securities surpassed Canadian investment in foreign securities for a second consecutive month in May. Non-resident investors acquired $20.9 billion of Canadian securities. Meanwhile, Canadian investors purchased a moderate $3.9 billion of foreign securities.
ON BAYSTREET
The TSX Venture Exchange lost 1.5 points to 597.64.
Seven of the 12 TSX subgroups lost ground in the first hour, with information technology pasted 1.6%, consumer discretionary giving 0.7%, and industrials off 0.6%.
The five gainers were led by energy, up 1%, communications ahead 0.7%, and gold, slightly brighter, 0.2%.
ON WALLSTREET
The S&P 500 retreated on Wednesday as the rotation out of high-flying technology shares continued.
The Dow Jones Industrials continued their winning ways, amassing 175.61 points to 41,139.09.
The much-broader index fell 59.03 points, or 1%, to 5,608.17.
The NASDAQ fizzled 404.27 points, or 2.2%, to 18,105.07.
Apple, Meta, Netflix and Microsoft all dropped more than 1%. That offered the latest sign of investors pulling back on megacap technology after the group’s monster run this year as artificial intelligence captured the market’s interest.
Semiconductor stocks struggled in particular within the tech sector following a Bloomberg News report that the Biden administration is considering tougher trade restrictions if companies continue granting China access to U.S.-made technology.
Nvidia was down 4%, and U.S.-listed shares of Taiwan Semiconductor lost around 2%.
Prices for the 10-year Treasury listed lower, raising yields to 4.19% from Tuesday’s 4.16%. Treasury prices and yields move in opposite directions.
Oil prices recovered $1.36 at $82.12 U.S. a barrel.
Gold prices gained $13.80 to $2,481.60
