Canada’s main stock index fell 607.65 points to close at 35,041.86, driven downward by heavy losses in the basic materials sector. Simultaneously, U.S. markets retreated from recent record highs as long-dated Treasury yields climbed, reviving inflation worries and dampening investor sentiment across North American exchanges.
New York Stock Indices Fall
- In New York, the Dow Jones industrial average fell 341.41 points to 51,179.87, while the S&P 500 index slipped 17.16 points to 7,801.77.
- The Nasdaq composite lost 61.20 points to close at 27,538.69, seeing its first down day in six alongside broad declines across technology shares.
Commodity Retreats Push Toronto Index Down
The domestic sell-off on the Toronto Stock Exchange was heavily concentrated in basic materials, pushing the index down sharply from the previous session’s gains. However, Wednesday’s trading wiped out those gains as commodities retreated.
The November crude oil contract fell US$1.16 to settle at US$88.28 per barrel. Meanwhile, the December gold contract dropped US$46.40 to US$4,140.70 an ounce, according to data published by BNN Bloomberg. The Canadian dollar weakened correspondingly, trading at 70.14 cents US compared with 70.29 cents US on Tuesday.
| Financial Index / Commodity | Previous Close | Latest Reading | Net Change |
|---|---|---|---|
| S&P/TSX Composite Index | 35,649.51 | 35,041.86 | -607.65 points |
| Dow Jones Industrial Average | 51,521.28 | 51,179.87 | -341.41 points |
| S&P 500 Index | 7,818.93 | 7,801.77 | -17.16 points |
| Nasdaq Composite | 27,599.79 | 27,538.69 | -61.20 points |
| Crude Oil (November Contract) | US$89.44 | US$88.28 | -US$1.16 |
| Gold (December Contract) | US$4,187.10 | US$4,140.70 | -US$46.40 |
Rising Treasury Yields Drive Equities Lower
In the United States, equities retreated as long-dated U.S. Treasury yields resumed their upward climb.
Market participants continue to monitor central bank policy signals and upcoming third-quarter corporate earnings reports. Analysts tracked by LSEG currently anticipate year-on-year S&P 500 earnings growth of 30.6% on aggregate for the July-through-September period, keeping investor scrutiny high as trading resumes.
Disclaimer: The information provided in this article is for educational and informational purposes only and does not constitute financial advice.
