Stock markets in Canada’s largest centre opened lower on Friday, led by falling mining stocks, on worries over implications of trade tariffs on economic growth even as the index was set for a weekly advance.
The TSX Composite Index caved 167.4 points to commence the last trading day of the week at 24,892.84.
The Canadian dollar dropped 0.16 cents to 69.65 cents U.S.
The TSX ended marginally lower on Thursday after its biggest rise in over seven months the previous day, as investors weighed economic uncertainty and focused on the upcoming snap election.
The Bank of Canada Governor Tiff Macklem said on Thursday that due to uncertainty about U.S. tariffs, the bank had to adjust its monetary policy to become less forward-looking than normal.
The central bank is due to issue its quarterly monetary policy report on April 16, in which it will predict growth in the quarters and years ahead.
On the economic calendar, Statistics Canada’s new housing price index edged up 0.1% on a month-over-month basis in February, following a decline in the previous month.
Moreover, retail sales decreased 0.6% to $69.4 billion in January. Sales were down in three of nine subsectors and were led by decreases at motor vehicle and parts dealers.
ON BAYSTREET
The TSX Venture Exchange collapsed 4.1 points to 636.68.
All but one of the 12 TSX subgroups were pointed downward soon after the opening bell, weighed most by gold and materials, each dragging 1.7%, while consumer discretionary stocks lost 1.6%.
Only consumer staples held out against the negative tide, gaining 0.4%.
ON WALLSTREET
U.S. stocks fell Friday morning, putting the S&P 500 on pace to extend its monthlong rout caused by trade policy turmoil, recession fears and a rollover in megacap technology shares.
The Dow Jones Industrials cratered 498.52 points, or 1.2%, to 41,465.78
The broader index slid 56.25 points, or 1%, to 5.606.54
The NASDAQ dumped 157.84 points to 17,533.79.
The Dow is on track for a 0.2% gain this week. The NASDAQ, however, is off about 1% in the period, heading for its fifth straight losing week and its longest stretch of weekly losses since May 2022.
FedEx was hurting sentiment, with shares of the bellwether transportation company down 11%. FedEx cut its earnings outlook, citing “weakness and uncertainty in the U.S. industrial economy.”
Nike shares were off by 8% after the shoe and apparel giant said sales this quarter would miss analysts’ expectations because of tariffs and falling consumer confidence.
The retailer’s comments were having knock-on effects within the sector, as shares of Foot Locker slipped more than 1% and rival Under Armour fell more than 2%.
Friday’s session is likely to be volatile, with options expiring and President Donald Trump’s April 2 tariff deadline looming over the market.
The S&P 500 is on pace for a 0.4% fall week to date, putting it on track for a five-week losing streak. The benchmark briefly fell into correction territory at one point during the monthlong rout. It sits more than 8% from its record high, short of the 10% correction level, as it tried to mount a comeback from the turmoil.
The bulk of the market’s gains came on Wednesday when Federal Reserve policymakers kept their forecast for two rate cuts this year.
Prices for the 10-year Treasury gained ground Thursday, sending yields down to 4.22% from Thursday’s 4.24%. Treasury prices and yields move in opposite directions.
Oil prices let go of 16 cents to $67.91 U.S. a barrel.
Prices for gold stumbled $34.50 an ounce to $3,009.60 U.S.
