Stock Market

TSX dips as lower oil prices pressure energy shares

  • TSX ends down 36.82 points, or 0.2%, at 19,957.96
  • Energy falls 2.3%; oil settles 1.5% lower
  • Materials sector loses 1.3%
  • Restaurant Brands gains 7%

TORONTO, Nov 16 (Reuters) – Canada’s main stock index fell on Wednesday as lower oil prices weighed on energy shares but gains for consumer-related stocks helped limit the index’s decline.

The Toronto Stock Exchange’s S&P/TSX composite index (.GSPTSE) ended down 36.82 points, or 0.2%, at 19,957.96.

Still, the index has gained 2.7% since the beginning of the month and is on track for its second straight month of gains as investors welcome signs of decade-high inflation cooling.

Data on Wednesday showed Canada’s annual inflation rate holding steady at 6.9% in October, matching analyst forecasts, while core inflation measures were mixed, leaving markets betting on a smaller rate hike at the Bank of Canada’s next meeting.

The Toronto market’s energy sector fell 2.3% as oil prices settled 1.5% lower at $85.59 a barrel concerns over rising COVID-19 cases in China.

The materials group, which includes precious and base metals miners and fertilizer companies, lost 1.3%, while technology ended 0.7% lower.

Consumer staples was a bright spot, rising 1.6%. It was helped by a gain of 2.3% for Loblaw Cos Ltd (L.TO) after the retailer raised its annual earnings forecast.

Shares of Restaurant Brands International Inc (QSR.TO) ended 7% higher, helping drive the consumer discretionary sector to a 1.3% gain.

Industrials also gained ground, rising 1.4%.

Reporting by Fergal Smith; Additional reporting by Johann M Cherian in Bengaluru; Editing by Sandra Maler

Our Standards: The Thomson Reuters Trust Principles.

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