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HomeBusiness ReportAFTER THE BELL: TSX’s 12-day win streak snapped as energy sector slides;...

AFTER THE BELL: TSX’s 12-day win streak snapped as energy sector slides; U.S. markets fall as investors digest gloomy IMF report

Investors across North America were seeing red today, with markets falling on both sides of the border.

The TSX’s 12-day win streak came to an end as the index fell 120 points below the flat line, weighted by plummeting energy and cannabis stocks and a dip in oil prices.

Crude prices fell $1.04 to $53.00 US a barrel as investors worry that China’s slowing economy will impact global demand.

On top of being the world’s second largest economy, China is also the globe’s largest oil importer.

The oil slide dragged Canadian energy companies. Crescent Point Energy plunged 6.5 percent, Baytex Energy lost six percent, MEG Energy was down 5.7 percent, and Suncor Energy was off by 2.6 percent.

Seven of the index’s 11 sectors were in the red with energy being the biggest lag, plunging 3.5 percent.

Meanwhile, Stats Canada reported today that wholesale sales fell one percent in November to $63 billion, with sales down in five of seven sectors, led lower by declining sales in machinery, equipment and supplies, and building material and supplies.

In New York, the Dow lost 301 points, marking its biggest one-day drop since Jan. 3.

The catalysts behind the drop are three fold: investors react to yesterday’s report from the International Monetary Fund showing that global growth is losing steam, continued U.S./China trade tensions, and the longest government shutdown in U.S. history dragging into its 32nd day.

Among the decliners: Caterpillar was down 3.1 percent, Apple fell 2.2 percent, and Goldman Sachs dropped 2.4 percent.

The Nasdaq also fell into triple digit losses, off by 136 points with Netflix, Amazon, Nvidia, and Micron losing between 3.9 and 5.3 percent.

The Canadian dollar lost another 35/100ths of a cent to $0.7487 US while gold moved up $1.90 to $1,284 an ounce.

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