TSX ends sharply lower as US dollar knocks commodities
Both the Toronto Stock Exchange and Wall Street have ended with large losses as mixed US data and comments from the Fed’s vice-chair have increased speculation of an earlier interest rate rise. It led to gains for the greenback which hit commodity prices. Energy firms and mining led the losses across all sectors of the main TSX index. Asian markets were the world’s top performers Tuesday with gains for most indexes and multi-year highs for a second consecutive day for Tokyo and Shanghai. Europe went the other way with negative closing figures across the board as US data and Greek debt weigh heavily; Greece will default on its loan payments next week if it is unable to reach agreement with creditors.
The S&P/TSX Composite Index closed down 136.6 (0.90 per cent)
The NYSE closed lower
Oil is trending lower (Brent $63.89, WTI $58.25 at 4.15pm)
Gold is trending lower
The loonie is valued at U$0.8046 (at 4.15pm)
Harper government wants to make it easier to save but will we?
The federal minister of state for finance says that the Conservative government want to make it easier for Canadians to save for their future. Kevin Sorenson said Tuesday that there wouldn’t be any mandatory changes to the CPP but said there would be new voluntary options available for retirement savings.
CIBC: Few plan to increase TFSA to limit
A new poll by CIBC found that Canadians seem less keen to save than the government would like. While 10 per cent of respondents said that they normally take advantage of the maximum limit for TFSA’s and will try to increase savings to the new $10,000 limit; and another 17 per cent said they want to push savings above $5,500 but maybe not to the maximum; 34 per cent said that they didn’t have the money or had other investment plans. The poll showed that 30 per cent would either contribute less than the old limit or would not be able to contribute at all this year.
Cenovus announces management changes
Four executive vice-presidents of Cenovus Energy are leaving the company and will be succeeded by internal candidates. The COO, general counsel, environment and corporate affairs chief, and strategy chief will all be gone by the first quarter of 2016. A statement from the firm, which has been forced to cancel a number of projects due to the low oil price, says that the four executives have “chosen to retire”.
CAE profits take off
Flight training company CAE has seen a surge in profits its fourth quarter; up 13 per cent to $67.7 million. Revenue was up 9.7 per cent to $631.6 million – a new record - and earnings per share for the full year are up to 76 cents from 73 cents for the previous year.
Saskatchewan to gain from agri-food and fertilizer exports
The economy in Saskatchewan will be boosted by agri-food and fertilizer exports according to Export Development Canada. Global News reports that the province will suffer a 27 per cent drop in energy exports and a 5 per cent drop in overall export revenues. Agri-food accounts for 40 per cent of Saskatchewan’s exports and fertilizer exports are forecast to increase by 18 per cent this year.