Major Canadian Stock Indices The U.S. stock market retreated from historical highs, rebounded from the early decline and climbed again.
The S&P/TSX composite index closed up 37.98 points to a record 21,594.52.
In New York, the Dow Jones Industrial Average fell 112.24 points to 36,319.98. The S&P 500 Index fell 16.45 points to 4,685.25, while the Nasdaq Composite Index fell 95.82 points to 15,886.54.
After the S&P 500 Index hits its biggest drop in months, experts warn that the stock market has plummeted
Colin Cieszynski, chief market strategist at SIA Wealth Management, said that investors mainly pause and take time to reassess things.
He said in an interview: “In the past few months, we have just been running in the market. Everyone just stopped to take a breath, look around and see where we are.”
Although crude oil prices rose by 2.7%, the energy sector still fell.
As the decline in the share of oil and gas producers was partially offset by revenues from oilfield services and equipment companies, it fell 0.3%.
The December crude oil contract rose US$2.22 to US$84.15 per barrel, and the December natural gas contract fell 44.8 cents to US$4.98 per mmBTU.
The rise in oil prices comes after the United States reopened its land borders to Canada and international travelers.
Cieszynski said that as the Snowbirds head south and campers line up, the demand for gasoline may increase.
“But it’s more of a short-term thing to me. I think OPEC will support oil prices in general and continue to manage supply on a weekly basis.”
Consumer staples were the big winner of the day, rising 1.3%, as fresh producer supplier Village Farms International Inc. rose 10.8% after reporting strong quarterly results.
Despite the decline in gold prices, materials are still rising.
The December gold contract fell US$2.80 to US$1,830.80 per ounce, and the December copper contract fell 2.6 cents to US$4.37 per pound.
The Canadian dollar/U.S. dollar exchange rate was 80.33 cents, the same as Monday.
Healthcare was one of the four sectors that fell on the day. As cannabis producer Cronos Group Inc. said it must restate previously released financial data to include at least $220 million in impairment charges, the company’s stock price fell 0.6%.
The US producer prices announced on Tuesday were slightly better than expected, but they were still high.
The inflation data released on Wednesday will follow the announcement of Chinese consumer prices overnight.
Cieszynski said: “Therefore, we may have a better understanding of tomorrow’s inflation situation, but so far, it has remained stable at a very high level.”
© 2021 Canadian Press
