Canada Stocks: TSX tumbles as mining stocks weigh, Lightspeed tanks

Lightspeed Commerce

18/05/2023 15:48

(Adds analyst comment in paragraph five; updates stocks and
sector details, prices)

        * 
      Ritchie Bros climbs on brokerage upgrade
    

        * 
      Lightspeed drops to TSX bottom on downbeat revenue
forecast
    

        * 
      TSX down 0.4%
    

  
    By Johann M  Cherian
       May 18 (Reuters) - Canada's main stock index fell on
Thursday, wiping off all the gains from the previous session as
gold miners tumbled and software firm Lightspeed fell after
reporting a weak outlook. 
    Lightspeed Commerce Inc  LSPD.TO  tumbled by 10.7% on its
worst day in over six months after reporting a weak quarterly
sales forecast, citing caution on near-term macroeconomic
pressures. 
    At 10:23 a.m. ET (14:23 GMT), the Toronto Stock Exchange's
S&P/TSX composite index  .GSPTSE  was down 70.92 points, or
0.35%, at 20,225.51.
    The materials sector  .GSPTTMT  fell 1.7% and hit an over
one-month low, tracking a drop in gold prices. Miners represent
12% of the TSX in terms of market capitalisation. GOL/  
    "Whenever there is an uptick in the U.S. dollar, gold prices
move lower and now there's talk about interest rates possibly
rising another quarter point in June (aiding a fall in gold
prices)," said Allan Small, senior investment advisor at Allan
Small Financial Group.
    Canadian stocks have traded in tight ranges since late April
as weak China data darkened the demand outlook for commodities
and concerns about the U.S. debt ceiling limit weighed on
consumer sentiment.
    Among other movers, luxury winterwear maker Canada Goose
Holdings Inc  GOOS.TO  forecast strong annual sales, betting on
a sharp rebound in key market China, but later reversed course
and shed 8.3% after its chief executive said the company
expected the U.S. market to be more challenging this year.
    The consumer discretionary sector  .GSPTTCD  housing Canada
Goose was up 0.04%.
    Brokerage National Bank of Canada upgraded its rating on
equipment marketplace Ritchie Bros Auctioneers Inc  RBA.TO  to
"outperform" from "sector perform", sending its shares up 4%.
    Meanwhile, the Bank of Canada said it was worried a major
cyberattack on one part of the financial system could quickly
spread and threaten overall financial stability.

 (Reporting by Johann M Cherian and Vansh Agarwal in Bengaluru;
Editing by Pooja Desai)
 ((johann.mcherian@thomsonreuters.com;))