TSX falls as commodities weigh Reuters | Biden News

TSX falls as commodities weigh Reuters

 | Biden News


© Reuters. FILE PHOTO: The Art Deco facade of the original Toronto Stock Exchange building is seen on Bay Street in Toronto, Ontario, Canada on January 23, 2019. REUTERS/Chris Helgren/File photo

Johann M Cherian

(Reuters) – Canada’s main stock index fell on Thursday, tracking weakness in oil and precious metals prices amid concerns about U.S. interest rates and demand in top metals consumer China.

At 10:22 a.m. ET (3:22 ​​p.m. GMT), the Toronto Stock Exchange’s S&P/TSX composite index fell 130.67 points, or 0.65%, to 19,827.29, extending losses from the previous session.

The energy and materials sectors fell 1.5% each as metal and oil prices fell on a stronger dollar and investors felt that China’s recent easing of some COVID-19 restrictions may not be enough to boost demand. [O/R] [GOL/]

Consumer prices rose in October from the previous month, and traders are now looking to Friday’s producer price data to see how that will change the Bank of Canada’s (BoC) rate hike path.

“I think they’re still on track for another hike,” said Greg Taylor, portfolio manager at Purpose Investments. “The data didn’t do enough to derail them, and I think that’s a good thing given the high inflation.”

Traders are targeting a 25 basis point rate hike by the BoC at the December 7 session. [IRPR][#0BOCWATCH]

Among stocks, TC Energy (NYSE: ) said the weather-related issues that prompted it to shut down its Keystone pipeline have been resolved. Shares fell by 0.9%.

Restaurant Brands International (NYSE: ) rose 1.3% after the company said its Tim Hortons coffee chain brand has entered into a two-year partnership with Alibaba (NYSE: ) Group’s chain of grocery stores.

“I think Restaurant Brands is still one of the best companies in Canada, and it’s probably very eager to expand into China, and Alibaba can help with that,” Taylor added.

Wall Street opened lower as hawkish comments from Federal Reserve official James Bullard raised concerns that the US central bank will not ease its aggressive stance on interest rate hikes.[.N]


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