Bearer Share: Definition, Example, Risks, and Benefits
On Friday, investors abandoned financial and oil stocks in favor of technology stocks, sending Canada’s main stock index to a three-month low.
The S&P/TSX composite index fell 59.01 points, or 0.3%, to 21,639.10, its lowest closing level since March 6.
The index fell 1.7% last week, its sharpest drop since October. TSX fell for the fourth week in a row, the longest streak since May 2023.
“It looks like it’s really diverging from the S&P 500, which is closing out a very strong week,” said First Avenue Investment Counsel Inc. CIO Brian Madden.
“Money is professionally managed and a lot of money chases performance and performance is very much in the United States and not in Canada.”
The TSX is up 3.3% since the start of the year, trailing the 13.9% gain for the S&P 500, which weights high-flying technology equities.
The U.S. benchmark closed marginally lower Friday but near its Thursday record high.
Leadership from the US technology group is good. Even with Shopify’s best efforts, Canada can’t hold up our market.”
Toronto’s technology sector increased by 0.9%, while Shopify Inc. rose by 4.6%.
Most major sectors fell, with financials, which make up 29% of the index, down 0.5% and energy, which makes up 20%, down 0.7%.
Gains in tech stocks helped the Nasdaq reach its seventh consecutive record closing high on Friday.
Oil fell 0.2% to $78.45 a barrel, reversing its weekly gain.
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