Canada's main stock index opened largely flat on Tuesday following a sharp decline in the previous session due to worries that unpredictable U.S. trade policies could dent economic growth.
The TSX Composite Index recovered 52.35 points, or 1.5%, to close Monday at 24,380.71
The Canadian dollar faltered 0.34 cents to 68.96 cents U.S.
Alimentation Couche-Tard remains in the news. The company said it is confident there is a "clear path" to overcome U.S. regulatory hurdles in its proposed $47 billion acquisition of Japan's Seven & i.
Couche-Tard shares began the session down $1.35, or 1.9%, to $70.10.
ON BAYSTREET
The TSX Venture Exchange gained 8.5 points, or 1.4%, to begin Tuesday at 603.24.
The 12 TSX subgroups were equally divided Tuesday, with gold sprinting 2.9%, materials better by 2.3%, and energy rumbling 0.5%.
The half-dozen laggards were weighed most by health-care, ailing 1.5%, telecoms off 1.2%, and industrials, sliding 0.9%.
ON WALLSTREET
The Dow Jones Industrial Average fell Tuesday after President Donald Trump placed additional tariffs on Canadian steel and aluminum coming into the U.S.
The 30-stock index fell 477.72 points, or 1.1%, to 41,433.99
The S&P 500 index stumbled 48.36 points to 5,566.19.
The NASDAQ Composite retreated 107.51 points to 17,360.81.
In a Truth Social post, Trump said steel and aluminum duties would go up by an additional 25%, bringing them to 50%. He added that the levies would take effect Wednesday.
This is the latest in a series of escalating trade policy moves that have stoked fears of a U.S. economic recession. The White House has place tariffs on Canadian, Mexican and Chinese imports, leading to steep losses in equities.
On Monday, the NASDAQ saw its worst day since September 2022, dropping 4%. The 30-stock Dow, which lost nearly 900 points, closed below its 200-day moving average for the first time since Nov. 1, 2023.
The pullback led Citigroup to lower its rating on U.S. stocks to neutral from overweight, pointing to a “pause in U.S. exceptionalism” as the reason. Adding to worries around the economy was the latest guidance from Delta Air Lines. The company slashed its earnings outlook due to weaker U.S. demand, pushing the stock down more than 5%.
Prices for the 10-year Treasury eked higher, lowering yields to 4.20% from Monday’s 4.22%. Treasury prices and yields move in opposite directions.
Oil prices raced higher 86 cents to $66.90 U.S. a barrel.
Prices for gold fell $24.50 an ounce to $2,923.90 U.S.
Dow Falls Farther as Trump Hits Canada with More Tariffs
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