Canada’s main stock index faded into minus territory late Tuesday morning, despite gains in mining shares, with investors assessing U.S. producer price data to gauge the Federal Reserve’s interest rate path this year.
The TSX slid 24.04 points by noon EST Tuesday to 24,512.28.
The Canadian dollar squeezed 0.05 cents at 69.66 cents U.S.
Among individual stocks Barrick Gold on Tuesday confirmed it had suspended operations in Mali and that the government had moved gold stock from the miner’s Loulo-Gounkoto site to a bank. Barrick shares neared midday up four cents to $22.30.
Elsewhere, Fortuna Mining gained 42 cents, or 6.9%, to $6.52.
Cogeco Communications was the biggest individual decliner, down $3.68, or 5.5%, to $63.75
ON BAYSTREET
The TSX Venture Exchange regained 1.67 points to 602.44.
All but three of the 12 TSX subgroups lost ground Tuesday morning, with communications tumbling 4.3%, consumer staples down 1.3%, and energy trailing off 0.5%.
The three gainers proved to be gold, soaring 1.8%, materials, better 1.2%, and consumer discretionary issues eking up 0.3%.
ON WALLSTREET
Stocks traded near the flatline Tuesday after the producer price index, the first of two major inflation reports this week, came in lighter than forecast.
The Dow Jones Industrials let go of gains and fell 71.49 points to 42,225.63
The S&P 500 Index lost 18.98 points to 5,817.24.
The NASDAQ faltered 79.54 points to 19,008.83.
Big tech stocks wavered Tuesday, putting pressure on the S&P 500 and NASDAQ. Nvidia and Meta Platforms lost around 2% each, while Alphabet and Microsoft pulled back 0.1% each. Meanwhile, Tesla added 1% and Palantir rose around 2%.
The producer price index, which measures wholesale inflation, increased just 0.2% in December, according to a Bureau of Labor Statistics report. Economists polled by Dow Jones had estimated a 0.4% rise. Core PPI, which excludes food and energy, was flat.
Investors are now looking toward Wednesday’s consumer price index report for insights on the Federal Reserve’s next move on interest rate policy.
Prices for the 10-year Treasury regained lost territory, placing yields back to Monday’s 4.79%. Treasury prices and yields move in opposite directions.
Oil prices tailed off $1.33 to $77.49 U.S. a barrel.
Prices for gold recovered $6.60 an ounce to $2,685.20 U.S.