American Market News


Stocks Lower at Outset


Magna, Tims in Focus

Jun 27 2017 10:17 am EST


Stock indexes in Canada''s largest market stepped back from Monday''s levels, as losses for stocks including car parts maker Magna International and Tim Hortons owner Restaurant Brands International offset gains for energy and materials stocks.

The S&P/TSX Composite Index slumped 15.64 points to open Tuesday''s session at 15,300.38

The Canadian dollar gained 0.22 cents to 75.67 cents U.S.

Magna shares dropped $1.35, or 2.2%, to $59.21.

Restaurant Brands fell 80 cents, or 1%, to $81.94.

Elsewhere, New York-based hedge fund Paulson & Co on Monday reported a 6.3% stake in embattled Canadian drug maker Valeant Pharmaceuticals International.

The drug maker''s shares dawdled 22 cents, or 1.7%, to $22.22.

National Bank of Canada starts coverage on MEG Energy Corp with a sector perform rating and $4.75 target price. MEG shares improved eight cents, or 2.1%, to $3.97.

CIBC cut the rating on Winpak Ltd. to neutral from outperform. Winpak shares tumbled $2.28, or 3.8%, to $58.08.

ON BAYSTREET

The TSX Venture Exchange inched up 0.78 points to 772.69

All but three of the 12 TSX subgroups were lower to start things off Tuesday, as health-care dwindled 1.1%, consumer discretionary stocks swooned 0.8%, and information technology docked 0.7%.

The three gainers were materials, gold and energy, each surging 0.5%.

ON WALLSTREET

U.S. stocks fell on Tuesday after Google was hit with a fine from European regulators.

The Dow Jones Industrials faltered 17.46 points at 21,392.09, with 3M contributing the most losses.

The S&P 500 sank 3.52 points to 2,435.58, with telecommunications and information technology leading decliners.

The NASDAQ skidded 17.62 points to 6,228.89, as shares of Google-parent Alphabet fell more than 1% in early trade. The European Union fined Google a record $2.7 billion U.S., as regulators ruled the company violated antitrust rules.

Technology stocks have been closely watched by Wall Street this year as the sector has outperformed. Entering Tuesday''s session, the sector had gained nearly 20% so far this year.

Investors also turned their attention to Washington as doubts increased about the Senate passing a bill to repeal and replace Obamacare before the July 4 recess.

In economic news, consumer confidence data for June are due this morning. Wall Street will also be on the lookout for remarks from key Federal Reserve officials, including Fed Chair Janet Yellen.

Prices for the benchmark 10-year Treasury note stumbled, raising yields to 2.19% from Monday''s 2.14%. Treasury prices and yields move in opposite directions.

Oil prices vaulted 38 cents to $43.76 U.S. a barrel

Gold prices gained $4.60 to $1,251.00 U.S. an ounce.