TSX Goes in Opposite Direction from U.S. Indexes

Interest rates in Canada were ready to stay put Wednesday, as inflation fears were kept somewhat at bay, but stock gains were kept pretty much in check by the closing bell.

The TSX remained afloat, though only 32.47 points, off its sky-high readings of the morning, to close Wednesday at 20,454.32.

The Canadian dollar inched forward 0.1 cents to 74.38 cents U.S.

Gold stocks were the winners on the day, with Iamgold up eight cents, or 2%, to $4.17, while Centerra Gold rose 22 cents, or 2.3%, to $10.00.

Real-estate concerns were also flexing their muscles, with units of Granite REIT hiking $1.18, or 1.4%, to $83.14, while RioCan REIT progressed 30 cents, or 1.4%, to $21.57.

In industrials, Waste Connection climbed $3.05, or 1.6%, to $191.72, while Canadian National Railways strengthened $2.12, or 1.3%, to !62.23.

On the downside, Bausch Health Companies faded 31 cents, or 3%, to $9.94, while Tilray dipped nine cents, or 2.7%, to $3.29.

In consumer staples, Jamieson Wellness slumped 91 cents, or 2.7%, to $32.78, while Saputo retreated 89 cents, or 2.5%, to $34.52.

In consumer discretionary stocks, Spin Master lost $1.27, or 3.4%, to $35.72, while Pet Valu Holdings lost 78 cents, or 2.1%, to $35.71.

The Bank of Canada today held its target for the overnight rate at 4.5%, with the Bank Rate at 4.75% and the deposit rate at 4.5%. The Bank is also continuing its policy of quantitative tightening.

ON BAYSTREET

The TSX Venture Exchange regrouped 1.92 points to 635.88.

Seven of the 12 TSX subgroups were lower on the day, with health-care faltering 1.4%, consumer staples down 0.7%, and consumer discretionary stocks off 0.6%.

The five gainers were headed by gold, up 0.7%, real-estate, moving ahead 0.6%, and industrials, mightier by 0.5%.

ON WALLSTREET

Stocks fell Wednesday as recession concerns weighed on Wall Street, even as traders assessed the release of cooler-than-expected inflation data.

The Dow Jones Industrials stepped back 38.29 points to conclude Wednesday at 33,646.50.

The S&P 500 retreated 16.99 points to 4,091.95.

The NASDAQ sagged 102.54 points to 11,929.34.

Richmond Federal Reserve President Thomas Barkin told reporters that, while peak inflation may be behind the U.S., “we still have a ways to go.”

Recession concerns continued to weigh on investors even as the March consumer price index came in cooler than expected, showing a rise of 0.1%. Economists polled by Dow Jones were expecting CPI to rise by 0.2% month over month.

The report could impact the Federal Reserve’s rate decision come May. It may also cement the case for a stop to the central bank’s rate-hiking regime, even though CPI was still up 5% year over year.

Minutes from the Federal Reserve’s March policy meeting are also due out Wednesday, and slated to offer further clues into the mindset behind the central bank’s 25-basis-point hike in the wake of Silicon Valley Bank’s collapse and the turmoil that rattled the broader banking sector.

Prices for the 10-year Treasury gained, lowering yields to 3.40% from Tuesday’s 3.43%. Treasury prices and yields move in opposite directions.

Oil prices improved $1.71 to $83.24 U.S. a barrel.

Gold prices rumbled higher $10.10 to $2,029.10 U.S. an ounce.

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