Canada's commodity-heavy stock index opened lower on Thursday, as losses in mining stocks offset energy gains, while investors weighed whether U.S. Treasury support would be enough to calm global bond-market concerns.
The TSX decreased 14.62 points to start Thursday at 36,387.17.
The Canadian dollar gained 0.16 cents to 72.57 cents U.S.
On the economic calendar, Statistics Canada says its raw materials price index decreased 2.2% month over month in June and increased 18.1% year over year, while its industrial products price index increased 0.6% month over month and gained 12.4% year over year.
Elsewhere, the new housing price index decreased 0.1%, identical to a 0.1% drop in June.
On the trade front, the U.S. and Canada are closing in on a trade deal in which Washington could cut some contentious tariff rates on Canadian-built cars and trucks and key metals.
ON BAYSTREET
The TSX Venture Exchange backed off 0.71 points to 971.07.
Eight of the 12 TSX subgroups lost strength, weighed most by information technology, down 1.1%, health-care, off 0.6%, and financials, sliding 0.5%.
The three gainers were energy, rumbling 1.6%, utilities, ahead 0.4%, and gold, inching up 0.1%.
Shares in telecoms were unchanged.
ON WALLSTREET
U.S. stocks fell on Thursday as Treasury yields reversed course from the decline seen in the prior trading day following the Treasury Department’s debt buyback announcement.
The Dow Jones Industrials withered 391.48 points to 53,071.57.
The S&P 500 dipped 26.03 points to 7,681.95.
The NASDAQ Composite dropped 162.87 points to 26,168.22.
A pullback in Walmart shares hit the broader market as well. The retail giant dropped 8% after its U.S. comparable sales missed analyst expectations, as did its adjusted earnings forecast for both the third quarter and full year.
Also weighing on equities, oil prices rose again amid increasing tensions between Iran and the U.S. President Donald Trump said in a Truth Social post late Wednesday that the U.S. would begin “most crushing economic operation ever taken against any country” against Iran. “This will be Economic Warfare and Isolation on an unprecedented scale,” he wrote.
Prices for the 10-year Treasury popped, lowering yields to 4.69% from Wednesday’s 4.65%. Treasury prices and yields move in opposite directions.
Oil prices acquired $2.11 to $85.79 U.S. a barrel.
Gold prices declined $5.70 to $4,539.60 U.S. an ounce.
