Canadian Market Down Firmly In Negative Territory

(RTTNews) - The Canadian stock market is languishing in negative territory Tuesday afternoon with several stocks from across various sectors reeling under sustained selling pressure.

Worries about growth due to spikes in coronavirus cases and fresh restrictions in several countries, geopolitical concerns following the developments in Afghanistan, and weak commodity prices are weighing on the market.

Data showing a drop in Canadian housing starts, and disappointing U.S. retail sales data are also hurting sentiment.

The benchmark S&P/TSX Composite Index is down 186.14 points or 0.91% at 20,297.28 about a couple of hours past noon. The index touched a low of 20,273.69.

Consumer discretionary shares Brp Inc (DOO.TO), Magna International (MG.TO) and Canada Goose Holdings (GOOS.TO) are down 5.6%, 3.2% and 3%, respectively.

Among healthcare stocks, Chartwell Retirement Residences (CSH.UN.TO), Aurinia Pharmaceuticals (AUP.TO) and Trillium Therapeutics (TRIL.TO) are down 3.2 to 4%. Bausch Health Companies (BHC.TO) and Canopy Growth Corporation (WEED.TO) are also notably lower.

In the energy section, Vermilion Energy (VET.TO) is down 4.7%. Tourmaline Oil Corp (TOU.TO), Suncor Energy (SU.TO), Imperial Oil (IMO.TO) and Cenovus Energy (CVE.TO) are lower by 1.2 to 2%.

Among materials shares, Lithium Americas Corp (LAC.TO) is plunging nearly 11%. Hudbay Minerals (HBM.TO), Stelco Holdings (STLC.TO), New Gold Inc (NDG.TO), First Quantum Minerals (FM.TO), First Majestic Silver Corp (FR.TO) and Ero Copper Corp (ERO.TO) are down 3.7 to 4.6%.

Docebo Inc. (DCBO.TO), TC Energy Corporation (TRP.TO), George Weston (WN.TO) and Premium Brands Holdings Corporation (PBH.TO) are up with sharp to moderate gains.

Data released by Canada Mortgage and Housing Corporation showed housing starts in Canada declined 3.2% over a month earlier to 272,176 units in July. It was slightly lower than what the market had expected, and the lowest reading since last December.