The Toronto Stock Exchange fell more than 600 points on Monday, on a broad basis caused by falling commodity prices, as investors continued to worry about the effects of rising interest rates.
Monday’s market decline, which hit U.S. markets to a somewhat similar extent, was a continuation of market pressures that have been underperforming in recent weeks, said Craig Fehr, investment strategist at Edward Jones.
Markets are having a hard time adapting to an environment where central banks in general, but perhaps the Fed in particular, are expected to continue to tighten. [leur politique monétaire] in an economy showing some deterioration.
The composite index S & P/TSX has been somewhat insulated from the trend in the early part of the year, thanks to rising commodity prices. On Monday, however, there were declines in key sources, and investor concerns about growth prospects helped dampen the market.
The composite index S & P/TSX of Toronto Parquet erased 633.59 points, or 3.07%, to end the day with 19,999.69 points.
In New York, the Dow Jones industrial average fell 653.67 points to 32,245.70 points. The broader S&P 500 index lost 132.10 points, or 3.2%, to 3,991.24 points, while the NASDAQ Composite Index dropped 521.41 points, or 4.29%, to 11,623, 25 points.
On the New York Commodity Exchange, crude oil fell US $ 6.68 to US $ 103.09 per barrel, while natural gas fell US $ 1.02 to $ 7.03. US per million BTU.
The drop in oil lowered its share in the energy sector, including Suncor Energy, which returned 5.07%. Cenovus Energy lost 7.31% and Canadian Natural Energy fell 7.17%. Overall, the energy group fell 7.06%.
Falling oil prices and rising bond yields put pressure on the Canadian dollar, which traded at an average price of US77.14 ¢, down from Friday’s average of US77.63 ¢. .
All other TSX sectors also fell, including Materials, which returned 5.6% as the price of gold dropped US $ 24.20 to US $ 1,858.60 an ounce and copper swept US7.4 ¢ to US $ 4.19 each. pound.
Source: Radio-Canada
