TSX Falters After Bright Start, Ends Flat

(RTTNews) - The Canadian stock market started off on a high note on Monday, led by gains in energy stocks, but kept sliding gradually and slipped into the red a little past noon.

Then, with investors largely moving on to the sidelines, looking for direction, the market stayed around the unchanged line and eventually finished with a slender gain.

As the mood turned cautious, stocks from several sectors, including those from the energy space, started edging lower. Information technology stocks bucked the trend and posted gains.

The benchmark S&P/TSX Composite Index ended up 1.92 points, or 0.01%, at 15,012.65. The index scaled a high of 15,127.13 and a low of 14,994.34 in the session.

Among energy stocks, Husky Energy (HSE.TO) climbed up 3% and Imperial Oil (IMO.TO) gained 1.2%. Rest of the early movers from the energy space either pared most of their gains or ended on the negative side.

ARC Resources (ARX.TO) declined by 4.8% and Tourmaline Oil Corp. (TOU.TO) ended 3.65% down, while Encana Corporation (ECA.TO) and Vermilion Energy (VET.TO) both ended lower by about 1.4%.

Materials stocks turned in a mixed performance. Among bank stocks, Toronto - Domion Bank (TD.TO) ended modestly higher, while National Bank of Canada (NA.TO), Bank of Nova Scotia (BNS.TO), Bank of Montreal (BMO.TO), Royal Bank of Canada (RY.TOP) and Canadian Imperial Bank of Commerce (CM.TO) ended flat. Manulife Financial Corporation (MFC.TO) gained about 1.5%.

The Capped Healthcare Index ended more than 3% down. Aurora Cannabis Inc. (AU.TO) plunged 6.1%, Canopy Growth Corporation (WEED.TO) ended 6% down and Aphria Inc. (APHA.TO) ended lower by 8.7%, while Extendicare (EXE.TO) declined by more than 3.5%.

The Information Technology Index climbed up nearly 2.5%. Shopify Inc. (SHOP.TO) gained nearly 7.5%, BlackBerry (BB.TO) added 3.5%, Descartes Systems Group Inc. (DSG.TO) gained 2.7%, Open Text Corporation (OTEX.TO) ended 1.5% up and Mitel Networks Corporation (MNW.TO) gained 1.3%, while CGI Group (GIB.TO) and Bausch Health Company (BHC.TO) gained 1.1% and 1.35%, respectively.

Telecom stocks BCE (BCE.TO) and Rogers Communications Inc. (RCI.B.TO) gained more than 1%.

Bombardier Inc. (BMO.TO) declined 6.6% and AltaGas (ALA.TO) ended nearly 8% down. Hudson's Bay Company (HBC.TO) gained about 5.1% and Air Canada (AC.TO) advanced by 4.75%.

U.S. stocks ended on a firm note on Monday, thanks largely to bargain hunting after recent losses. The Nasdaq and the S&P 500 gained 2.1% and 1.6%, respectively. The Dow ended up 1.5%.

Asian markets ended mixed on Monday with investors keeping a close watch on the developments on the U.S.-China trade front ahead of the upcoming G20 summit in Buenos Aires, Argentina, at the end of the week.

Traders also looked ahead to remarks by Federal Reserve Chairman Jerome Powell and the minutes of the Fed's latest monetary policy meeting later this week for clues on U.S. monetary policy.

The European markets ended mostly higher amid easing Italian budget concerns and the Brexit agreement from Sunday's summit. According to media reports, the Italian government is mulling a deficit reduction of up to 2% of gross domestic product from the draft budget goal of 2.4% of GDP.

Meanwhile, EU leaders backed U.K.'s and political declaration that sets up the frame work of the future trade relationship. The President of the European Commission Jean-Claude Juncker said the deal was "the best deal possible" and that the EU would not change its "fundamental position."

In commodities, U.S. West Texas Intermediate crude futures for January ended up $1.21, or 2.4%, $51.63 a barrel. On Friday, crude oil futures ended 7.7% down.

Gold futures for February ended down $0.80, or 0.07%, at $1,222.40 an ounce. Silver futures for March ended at $14.205 an ounce, while Copper futures settled at $2.7555 per pound.