TSX Pares Early Gains, Ends Weak

(RTTNews) - The Canadian stock market once again failed to capitalize on a firm start, as shares gave up early gains due to investors' reluctance to make significant moves at higher levels.

The market eased despite the Canadian Prime Minister Justin Trudeau's remarks that he saw a possibility that Canada could build on a bilateral deal that the United States and Mexico have already agreed.

Energy stocks started well on higher crude oil prices but pared most of their gains as the session progressed. Materials stocks turned in a mixed performance. Financial, consumer discretionary and consumer staples stocks were mostly subdued.

The benchmark S&P/TSX Composite Index ended with a loss of 47.82 points, or 0.30%, at 16,159.50, the day's low. The index touched a high of 16,300.67 in early trades. On Monday, the TSX ended down 16.81 points, or 0.10%, at 16,207.32.

The Capped Energy Index shed nearly 0.7%. Cenovus Energy Inc. (CVE.TO) declined by about 2.7% and Suncor Energy Inc. (SU.TO) eased by 1.7%. Encana Corporation (ECA.TO) gained about 1.5%.

The Capped Consumer Discretionary Index lost 1.1%. Magna International Inc. (MG.TO) declined 4.7%, Linamar Corporation (LNR.TO) ended 2.2% down and Dollarama Inc. (DOL.TO) ended lower by about 1%, while Great Canadian Gaming Corporation (GC.TO) moved up by a little over 1%.

The Consumer Staples Index ended 0.5% down. Loblaw Companies (L.TO) declined by about 1.6%, Premium Brands Holdings Corporation (PBH.TO) ended nearly 2% down, Cott Corporation (BCB.TO) eased by 1% and The North West Company Inc. (NWC.TO) ended 1.1% down, while Empire Company (EMP.A.TO) climbed up 2.2%.

The Capped Financial Index lost 0.45%. Toronto-Dominion Bank (TD.TO) declined by 0.6% and Bank of Nova Scotia (BNS.TO) ended 0.9% down, while Bank of Montreal (BMO.TO) and Canadian Imperial Bank Of Commerce (CM.TO) both eased by 1.1%. Royal Bank of Canada (RY.TO) and National Bank of Canada (NA.TO) ended flat.

The Capped Materials Index ended 0.52% up. Agnico Eagle Mines (AEM.TO) gained 2.5%, while Nutrien (NTR.TO), Barrick Gold Corporation (ABX.TO) and Methanex Corporation (MX.TO) closed higher by 1.4% - 1.6%.

Franco-Nevada Corporation (FNV.TO) ended nearly 2% down, Goldcorp Inc. (G.TO) lost 1.7% and First Quantum Minerals (FM.TO) shed 1.5%.

Aurora Cannabis Inc. (ACB.TO) gained 4.1% on results. The company reported a 19% jump in fourth quarter revenue, compared to the preceding quarter. Compared to the fourth quarter of the previous year, the revenue of the company at $19,147 in the fourth quarter of 2017-18, was up as much as 223%.

Pollard Banknote Limited (PBL.TO) shares gained 5.6% after the company announced that it has bagged a six-year extension to its Instant Ticket Printing and Production Services contract with the Texas Lottery. Based on most recent level of volumes, the estimated dollar value over the term of this extension is $70-80 million (CDN), the company said.

The U.S. market ended mixed today, with traders largely staying reluctant to make significant moves ahead of the Fed's policy announcement on Wednesday.

European markets ended slightly higher, while Asian markets ended on a mixed note.

In economic news from Europe, Germany's wholesale price inflation accelerated in August, rising to 3.8%, from 3.6% in July. This was the fastest increase in wholesale prices since April 2017.

French manufacturing sentiment deteriorated in September, showed a report from Insee. The manufacturing sentiment index fell to 107 in September from 110 in August. This was the lowest score since March 2017 and well below forecast of 109.

In U.S. economic news, the Conference Board said its consumer confidence index climbed to 138.4 in September from an upwardly revised 134.7 in August. Economists had expected the consumer confidence index to drop to 131.7 from the 133.4 originally reported for the previous month.

In commodities, crude oil futures for November ended up $0.20, or 0.3%, at $72.28 a barrel on the New York Mercantile Exchange, ahead of inventory data.

Gold futures for December ended up $0.70, or 0.06%, at $1,205.10 an ounce.

Silver futures for December ended up $0.152, at $14.493 an ounce, while Copper futures for December declined by $0.0125, to $2.8235 per pound.