Canada Stocks: TSX closes in the red as lower oil prices hurt energy stocks

Seabridge Gold

28/12/2023 21:34

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      TSX down 0.4%
    

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      Materials, energy sector top decliners
    

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      Commodity prices weigh on index 
    

  
 (Updates to close)
    By Nivedita Balu
       Dec 28 (Reuters) - Canada's main stock index ended lower
on Thursday, pressured by declining commodity prices that hurt
energy and materials stocks.
    The Toronto Stock Exchange's S&P/TSX composite index
 .GSPTSE  was down 86.53 points, or 0.41%, at 20,929.38.
    The energy sector  .SPTTEN  shed 1.4%, hurt by a decline of
over $2 in crude prices as concerns eased about shipping
disruptions along the Red Sea route.  O/R 
    The materials sector  .GSPTTMT , which includes precious and
base metals miners and fertilizer companies, fell 1.4% as gold
prices eased and silver fell due to an uptick in the U.S.
dollar.  GOL/ 
    "There's a greater sensitivity to commodity prices in Canada
versus the United States. The TSX is underweight in information
technology, communication, healthcare and consumer
discretionary," said Brandon Michael, senior investment analyst
at ABC Funds.
    "The global indices are continuing to lift higher... it's
not the same story for the TSX." 
    Weighing on the energy index, Energy Fuels  EFR.TO  tumbled
7% to the bottom of TSX after the minerals company announced
that the chief financial officer Tom Brock would step down.  
    Other gold stocks including Torex Gold  TXG.TO , Seabridge
Gold  SEA.TO , New Gold  NGD.TO  were among top losers on the
index. 
    Investors locked in profits from a rally ahead of year-end
as Friday marks the last trading day of the year, with the TSX
expected to post a yearly win. 
    Top gainer healthcare index  .GSPTTHC  added 2.7%, following
a 8% jump in cannabis company Tilray Brand  TLRY.TO  shares,
extending gains from the previous session. 
    Shares of Shopify  SHOP.TO  jumped 1% and were set to close
the year with one of the highest gains on the exchange. The
information technology  .SPTTTK  ended higher and is on track to
be the best-performing sector, up over 50% year-to-date.

 (Reporting by Khushi Singh in Bengaluru and Nivedita Balu in
Toronto; Editing by Ravi Prakash Kumar and Alistair Bell)
 ((Khushi.Singh@thomsonreuters.com;))