RY 160.91 0.3555% SHOP 116.03 -0.4718% TD 83.98 0.2148% ENB 62.82 1.4699% BN 68.81 1.6396% TRI 251.78 0.6959% CNQ 39.88 2.0732% CP 103.16 1.9771% CNR 137.31 0.483% BMO 129.32 0.4661% BNS 65.69 0.551% CSU 4682.54 -0.7613% CM 81.6 0.1473% MFC 39.65 -0.0252% ATD 71.3 1.3072% NGT 76.22 -1.6643% TRP 68.46 0.9586% SU 47.8 2.006% WCN 273.36 0.3156% L 213.68 0.1594%
Index Update: Weak crude oil and gold prices weighed on energy and materials shares, contributing to the market’s weakness. The benchmark S&P/TSX Composite Index ended down 30.20 points or 0.13% at 24,072.51. The index touched a low of 23,969.27 and a high of 24,083.13 in the session.
Macro Update: Data from Statistics Canada showed that Canada's trade deficit widened to C$ 1.10 billion in August 2024 from a revised C$ 0.29 billion gap in the previous month and exceeding market expectations of a C$ 0.5 billion deficit. This was the sixth consecutive monthly shortfall and the largest since May. Exports dropped by 1% in August, while imports inched up 0.3%.
Top Movers: Materials shares Teck Resources (TECK.B.TO), Hudbay Minerals (HBM.TO), Methanex Corp (MX.TO), Ivanhoe Mines (IVN.TO), First Quantum Minerals (FM.TO), Capstone Mining (CS.TO) and Lundin Mining (LUN.TO) ended lower by 3 to 5%.
Our Stance: Despite this recent slip, the index remains above its 21-period Simple Moving Average, indicating that the short-term uptrend is still viable. The immediate support level at 23,450 is crucial; if the index can maintain its position above this threshold, it may set the stage for a rebound. Conversely, a breach of this level could lead to further declines, with stronger support likely found between 23,000 and 22,600.
Commodity Update: The dollar remained stable on Wednesday as investors awaited insights into the U.S. interest rate outlook. Minutes from the Federal Reserve's September meeting, expected to reveal discussions on a weakening labour market, will be released today, highlighting a consensus for a 50-basis point cut among policymakers. In commodities, gold rose 0.03% to $2,636.55 per ounce, silver gained 0.66% to $30.80, and copper increased 0.17% to $9,776.00 per ton. Brent crude climbed 0.6% to $77.63 after a significant drop on Tuesday amid potential de-escalation in the Middle East conflict. Markets are also eyeing upcoming U.S. CPI data for further rate guidance.
Technical Update: On Tuesday, the S&P/TSX Composite Index edged down slightly to close at 24,072.51, marking a 0.13% decline. The energy sector took a significant hit, falling 2.33%, which contributed to the overall bearish sentiment in the market. Despite this recent slip, the index remains above its 21-period Simple Moving Average, indicating that the short-term uptrend is still viable. However, the Relative Strength Index (RSI) at 65.29 signals potential underlying weakness that investors should be cautious about. The immediate support level at 23,450 is crucial; if the index can maintain its position above this threshold, it may set the stage for a rebound. Conversely, a breach of this level could lead to further declines, with stronger support likely found between 23,000 and 22,600. As traders look ahead, they will be keenly watching for any indicators that could sway the index’s direction.
The advice given by Kalkine Canada Advisory Services Inc. and provided on this website is general information only and it does not take into account your investment objectives, financial situation and the particular needs of any particular person. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. The website www.kalkine.ca is published by Kalkine Canada Advisory Services Inc. The link to our Terms & Conditions has been provided please go through them. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations later.
CA
NZ
UK
US
AU
IND
Please wait processing your request...