TSX rises but closes with slim losses
There was a solid start to trading for the Toronto Stock Exchange with financial stocks leading early Tuesday. However the main index closed slightly lower as energy stocks slipped along with oil prices on concern over the continued global supply glut.
Wall Street was buoyed by better-than-forecast retail data but also slipped back later as oil dropped more than 2 per cent.
Asian markets had ended their day largely higher as Monday’s rally on Wall Street boosted sentiment; Shanghai was slightly lower.
European markets closed up 2.5 per cent with the major indexes all gaining.
The S&P/TSX Composite Index closed down 37.13 (0.28 per cent)
The Dow Jones closed up 6.08 (0.03 per cent)
Oil is trending lower (Brent $43.69, WTI $40.78 at 4.15pm)
Gold is trending lower (1068.10 at 4.15pm)
The loonie is valued at U$0.7509
Enbridge cuts workforce by 5 per cent
More jobs are being shed in the oil sector with pipeline operator Enbridge cutting 5 per cent of its workforce across the US and Canada. That means 500 people will lose their jobs and another 100 roles will be left unfilled. The losses will affect all levels the company said. There will be support for those affected and the company’s spokesman stressed that safety, the environment and reliability would all be protected.
Canadian Pacific boss says railways will consolidate
The president of Canadian Pacific said Tuesday that North American railways will consolidate but he was not about to comment on the rumours of a merger. CP has been linked with a tie-up with US railway Norfolk Southern but Keith Creel would not confirm that there were talks. He did however say that it is not a question of “if” there is consolidation but “when”.
$500 million for small businesses in oil regions
The Business Development Bank of Canada is making $500 million available to small businesses affected by the downturn in the oil sector. It is 40 per cent more cash than is normally available and will help those businesses to diversify and invest in new equipment. Businesses in Alberta, Saskatchewan and Newfoundland are likely to see the majority of the funding.