TSX hits two-month low in broad-based sell-off as energy tumbles
By Johann M Cherian and Fergal Smith
(Reuters) - Canada's main stock index slid on Tuesday to its lowest closing level in two months, with the energy sector leading the declines in a broad-based slide as oil prices tumbled.
The Toronto Stock Exchange's S&P/TSX composite index ended down 228.25 points, or 1.1%, at 19,739.70, its lowest close since March 28. All 10 major sectors ended lower.
Wall Street shares were mixed as investors weighed prospects of a deal to lift the U.S. debt ceiling passing in Congress.
"Energy was one of the sectors that did well last year as many people thought that with what's going on in Russia and Ukraine, prices would skyrocket," said Allan Small, senior investment adviser at Allan Small Financial Group.
"But that was overdone and now what's taken hold is this notion of a global growth slowdown."
Data on Tuesday showed U.S. consumer confidence slipping to a six-month low. Canada sends about 75% of its exports to the United States, including commodities.
The Toronto market's energy sector fell 2.1% as the price of oil settled 4.4% lower at $69.46 a barrel ahead of this weekend's OPEC+ meeting.
"It is hard to get excited about jumping back in to oil as we have an upcoming OPEC+ meeting that seems poised to be just a review of production levels but no announcement of further cuts," Edward Moya, senior market analyst at OANDA, said in a note.
TC Energy Corp's North Baja Pipeline LLC unit has received permission from U.S. energy regulators to put the North Baja natural gas pipeline expansion in Arizona and California into service. The company's shares ended 1.6% lower.
The materials sector, which includes precious and base metals miners and fertilizer companies, lost 1.6% as copper prices fell, while heavily weighted financials were down 1.1%.
(Reporting by Fergal Smith in Toronto and Johann M Cherian and Vansh Agarwal in Bengaluru; Editing by Richard Chang and Matthew Lewis)
