Shares retreat on US-China tensions; gold exceeds US $ 1900

0
85


TORONTO – North American stock markets ended the week with a lower day on Friday, despite gold prices briefly exceeding US $ 1,900 an ounce for the first time since 2011.In Toronto, the S & P / TSX Composite Index closed 21.59 points lower at 15,997.06.

For the week, he was down 124.42 points, ending a streak of three consecutive weekly gains.

“We’re going through the earnings season so there’s a lot of results right now and what we’re getting is a mix of numbers,” said Colin Cieszynski, chief market strategist at SIA Wealth Management.

“We’re kind of taking profits, looking for good deals, rotating between sectors,” he said.

“It’s a very different type of market than what we’ve been used to in recent years. It is not a market where everything is going up or where everything is going down. It has once again become a securities selection market.

Materials were the brightest among Toronto trading areas as the August gold contract closed up US $ 7.50 to US $ 1,897.50 an ounce, a figure very close to the record of US $ 1,120 per ounce set in 2011.

Shares of Yamana Gold Inc. rose 9.29%, or 72 cents, to $ 8.47 on Friday after the company raised its dividend and suggested it may increase its production forecast for 2020.

Wheaton Precious Metals Corp. was up 5.62 percent, or $ 3.83, to $ 71.93 and Lundin Gold Inc. was up 4.36 percent, or 51 cents, to $ 12.22.

The September crude contract rose 22 cents to US $ 41.29 a barrel.

Cieszynski said the market is starting to accept a stabilized price near US $ 40 after extreme volatility caused by pandemic lockdowns in recent months.

Two oil sands producers who reported income earlier this week were among the most active. Suncor Energy Inc. lost 62 cents to $ 23.13 and Cenovus Energy Inc. was up seven cents to $ 6.73.

September’s natural gas contract rose 3.2 cents to nearly US $ 1.87 per mmBTU.

Utilities was the worst performing sector for the day, with Brookfield Renewable Partners LP going from $ 2.26 to $ 71.04 and TransAlta Corp. down 24 cents to $ 8.44.

The September copper contract fell 4.6 cents to about US $ 2.89 per pound.

South of the border, the tech sector weighed on the top three U.S. stock averages for the second day in a row as tensions continued to mount between the world’s two largest economies.

China on Friday ordered the United States to close its consulate in the western city of Chengdu, in an apparent response to the Trump administration which ordered Beijing earlier this week to close its consulate in Houston.

In New York, the Dow Jones Industrial Average fell 182.44 points to 26,469.89.

The S&P 500 Index was down 20.03 points to 3,215.63, while the Nasdaq composite was down 98.24 points to 10,363.18.

The Canadian dollar traded at 74.51 US versus 74.67 on Thursday.

“We may continue to see the market consolidate and move sideways over the next few weeks as we work on our earnings reports. This will take us to the end of August, ”Cieszynski said.

He said he expects political conventions and other news regarding US presidential election campaigns to begin to have greater influence in the markets then.



LEAVE A REPLY

Please enter your comment!
Please enter your name here