Tariffs Work into Picture Monday, TSX Flat
Equities in Canada’s largest centre opened slightly higher on Monday as investors avoided making big bets, awaiting upcoming U.S.-Russia talks, trade turmoil and pivotal U.S. inflation data later in the week.
The TSX Composite Index began the day up 52.58 points to 27,811.26.
The Canadian dollar dipped 0.13 cents to 72.58 cents U.S.
ON BAYSTREET
The TSX Venture Exchange gained 3.54 points to 790.76 in the first hour of Monday
The 12 TSX subgroups were evenly split in the first hour, information technology chugging along 1.9%, telecoms up 0.9%, and health-care, ahead 0.6%.
The half-dozen laggards were weighed most by gold and materials, each down 0.9%, and real-estate, sagging 0.3%.
ON WALLSTREET
U.S. stocks were little changed early Monday, with the market once again on the cusp of all-time highs ahead of a week of key inflation reports.
The Dow Jones Industrial Average scaled back 50.18 points to 44,125.43
The S&P 500 index nosed up 3.26 points to 6,392.71
The NASDAQ gained 29.61 points to 21,479.63.
Those moves come after the NASDAQ ended last week at fresh closing highs, and the S&P 500 closed on the threshold of another milestone. The Dow also finished the week on a high note.
Inflation readings this week will prove a key hurdle for a broad market index near record highs. The consumer price index, which is set to be released Tuesday, and the producer price index, due out Thursday, will be critical in shaping the outlook for the direction of interest rates, especially for the Federal Reserve’s September meeting.
Hotter inflation prints could hinder the market’s advance.
Cannabis stocks jumped after The Wall Street Journal reported that President Donald Trump was considering reclassifying marijuana as a “less dangerous drug,” citing people familiar with the mater.
Shares of Tilray Brands surged 23%, Canopy Growth gained 19% and Cronos Group advanced 11%.
Prices for 10-year Treasury were up Monday, lowering yields to 4.27% from Friday’s 4.29%. Treasury prices and yields move in opposite directions.
Oil prices moved forward 50 cents to $64.38 U.S. a barrel.
Gold prices tumbled $74.30 to $3,417 U.S. an ounce.
