Daily Wrap-up: Strong gains for gold wiped out by oil slump

Daily Wrap-up: Strong gains for gold wiped out by oil slump

Daily Wrap-up: Strong gains for gold wiped out by oil slump

Strong gains for gold wiped out by oil slump
Materials and energy groups were at opposite ends of the main TSX index spectrum Monday as gold prices gained 1.3 per cent while oil prices slumped by around the same margin.

The drop for crude came as the greenback strengthened, easing demand for oil and subduing the effects of OPEC cuts. Gold gained as Trump-concerns boosted the safe haven.

While materials gained 3.6 per cent and energy dropped 2.5 per cent, the other sectors were split with 3 lower and 4 higher. The overall index closed slightly lower.

Wall Street was also slightly lower while Europe saw some larger losses and Asian indexes were mostly higher.
The S&P/TSX Composite Index closed down 19.45 (0.13 per cent)
The Dow Jones closed down 19.04 (0.09 per cent)
Oil is trending lower (Brent $55.86, WTI $53.12 at 4.45pm)
Gold is trending higher (1237.10 at 4.45pm)
The loonie is valued at U$0.7642
Morneau’s advisory council calls for delayed retirement
Canadians should delay retirement and be a part of the labour force for longer according to the federal finance minister’s advisors.

The Advisory Council for Economic Growth believes that the ages for eligibility for Old Age Security and the Canada Pension Plan should be raised as part of a range of proposals.

The council highlights policy trends in other advanced economies and says that the move would be voluntary but that Canadians would be encouraged to participate.
Tearing up NAFTA would be bad news for all parties
If NAFTA is scrapped, a new free trade agreement would likely be better for all parties, the head of the US Chamber of Commerce said Monday.

Speaking in Toronto, Tom Donohue said that cancelling the agreement would be bad for jobs, business and economies in Canada, Mexico and the US; which makes him confident that a replacement would be forthcoming.

He said that Canadian businesses should not be too concerned about the outcome.

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