Canada’s main stock index opened slightly lower on Tuesday after a long weekend with technology stocks leading the gains, while official data showed domestic factory activity in July grew at its slowest pace in five months.
The TSX Composite index dipped 7.15 points to open for business Tuesday at 20,280.65
The Canadian dollar fell 0.41 to 79.58 cents U.S.
Markets in Canada were closed Monday for holiday.
National Bank of Canada raised the target price on Atco to $45 from $44. Shares in Atco docked 44 cents, or 1%, to $44.64.
JP Morgan raised the target price on Fortis to $60.00 from $58.00. Fortis shares gained 49 cents to $57.07.
CFRA raised the rating on SNC-Lavalin Group to buy from hold. Lavalin shares fell 38 cents, or 1.1%, to $32.82.
On the economic slate, the headline seasonally adjusted IHS Markit Canada Manufacturing Purchasing Managers’ Index (PMI) registered 56.2 in July, down fractionally from 56.5 in June, to signal a 13th consecutive expansion in operating conditions.
The PMI eased for the fourth month in a row, but was still amongst the highest in the series which began in October 2010.
The TSX Venture Exchange dropped 0.55 points to 925.08.
The 12 TSX subgroups were evenly divided, as health-care dived 3%, energy plunged 1.3%, and materials slid 0.6%.
The half-dozen laggards were led by consumer staples, better by 1.5%, while information technology and communications each sprang up 0.6%.
U.S. stocks struggled for direction on Tuesday as concerns about global growth and COVID variants kept investors on edge.
The Dow Jones Industrials regained 45.85 points to 34,884.01
The S&P 500 nicked higher 2.39 points to 4,389.36,
The NASDAQ lost 105.59 points on the day to 14,672.68.
The spread of the delta coronavirus variant continued to keep investors on edge. The seven-day average of daily coronavirus cases in the U.S. reached 72,790 on Friday, surpassing the peak seen last summer when the nation didn’t have an authorized Covid-19 vaccine, according to data compiled by the Centers for Disease Control and Prevention.
Shares of companies that would be hit hardest by new health restrictions, including airlines and cruise lines, fell on Tuesday morning.
Shares of Simon Property jumped 3% after the mall owner said sales bounced back to pre-pandemic levels, up 80% from a year ago. It also reported a relatively high occupancy rate.
Meanwhile, the second-quarter earnings season continues with Under Armour shares rose after the company beat estimates on the top and bottom lines. However, Clorox’s stock fell 11% after a disappointing report.
Investors are closely monitoring progress in Washington as lawmakers move toward a bipartisan infrastructure bill that would devote $550 billion to U.S. infrastructure. Senate Majority Leader Chuck Schumer aims to rush the 2,702-page legislation through the chamber before a planned monthlong recess starting Aug. 9.
Prices for 10-Year Treasurys eked higher, thus lowering yields to 1.17% from Monday’s 1.18%. Treasury prices and yields move in opposite directions.
Oil prices subtracted 91 cents to $70.31 U.S. a barrel.
Gold prices docked seven dollars to $1,815.20 U.S. an ounce.