TSX closes lower on Trump, oil
The United States had a significant effect on world markets Monday as President Trump signed an order to cancel a trade agreement with Pacific Rim countries; and US oil production hit confidence in output caps.
A slip for oil prices saw the energy group of the main TSX index down 2.5 per cent and it was joined by 7 other sectors. Materials gained as gold prices rose, and IT also closed higher.
Wall Street closed lower as investors weighed how President Trump’s policies may play out; European indexes also closed lower while Asian bourses were mixed.
The S&P/TSX index closed down 67.75 (0.44 per cent)
The Dow Jones closed down 27.40 (0.14 per cent)
Oil is trending lower (Brent $55.31, WTI $52.81 at 4.20pm)
Gold is trending higher (1215.70 at 4.20pm)
The loonie is valued at U$0.7542
Trump adviser says Canada shouldn’t be “enormously worried” over NAFTA
On the day that President Trump cancelled the Trans-Pacific Partnership trade agreement, one of his key advisers said that Canada should not be “enormously worried” about a renegotiation of NAFTA.
Blackstone Group CEO Stephen Schwarzman who leads the new president’s Strategic and Policy Forum met with Justin Trudeau Monday and said that due to the relatively balanced trade between Canada and the US, any new agreement would be positive.
Reuters says that Jared Kushner, Trump’s son-in-law, is expected to meet Liberal government representatives in Calgary tomorrow.
Wholesale trade continues higher
For the second consecutive month, wholesale trade was higher in November, rising 0.2 per cent to $56.9 billion.
Statistics Canada data shows that four subsectors gained with the miscellaneous group leading; two subsectors declined, led by motor parts and vehicles.
Wholesale sales were down 0.1 per cent in volume terms.
In provincial terms, Saskatchewan saw its first gains in three months, up 13.9 per cent to $2.1 billion. Newfoundland and Labrador saw the largest percentage increase, up 40.9 per cent to $537 million, a new record for the province.