TSX Eases From Record High
On Friday, the S&P/TSX Composite Index dipped by 0.4%, concluding the day at 29,284. This decline came as investors took a breather following two weeks of unprecedented rallies, shifting their focus to the anticipated interest-rate cuts from the Bank of Canada and the U.S. Federal Reserve expected next week. The probability of monetary easing by the Bank of Canada increased after reports indicated that Canada lost approximately 65,500 jobs in August, pushing the unemployment rate up to 7.1%. Meanwhile, a U.S. Consumer Price Index (CPI) reading that met expectations supported the projected rate cuts by the Federal Reserve. Currently, the market anticipates about 75 basis points of rate reductions throughout the year, with some expecting a significant half-point reduction in the coming week. Financial, mining, and technology sectors were at the forefront of the decline, with notable companies such as Brookfield Corporation, Barrick Gold, and Shopify dropping by 1.4%, 1.2%, and 1.1% respectively. Despite this, the TSX managed to achieve a weekly gain of 0.8%.
Download NOW!
No comments:
Post a Comment