Markets mixed after rates cut
To no one’s surprise, the Bank of Canada on Wednesday cut the key lending rate by 25 basis points to 2.5% while the U.S. Fed followed suit at 25 points to 4.0-4.25%. Fed Chair, Jerome Powell, also penciled in two more cuts this year based on a weakening jobs market and “elevated” inflation. Market reaction was mixed with the TSX and S&P essentially flat while the Nasdaq shed 0.33% and the Dow gained 0.57%.
In Toronto, telcos led five sectors moderately higher while tech led the laggards modestly lower. Mining stocks were mixed with Ivanhoe gaining 3.03% and Barrick Gold 2.32%, but First Majestic Silver sinking 3.08%. Goeasy slumped 2.76%, while Energy Fuels rallied 4.82%. In New York, Nvidia slipped 2.62%, Uber skidded 4.99% and Broadcom sank 3.84%, but Workday popped 7.25% and Hologic rallied 7.68%.
In commodities, gold declined US$31 to US$3,658 while WTI slipped 0.85% to $64. The U.S. 10-year yield edged up 4.078%.
⛏ Ivanhoe Mines Ltd (IVN-T) +3.03%
🥇 Barrick Gold Corp (ABX-N) +2.32%
🥈 First Majestic Silver (AG-N) -3.08%
🏛 goeasy (GSY-T) -2.76%
🛢 Energy Fuels Inc. (EFR-T) +4.82%
💾 NVIDIA Corporation (NVDA-Q) -2.62%
🚕 Uber (UBER-N) -4.99%
🧬 Broadcom (AVGO-Q) -3.84%
💾 Workday (WDAY-Q) +7.25%
👨⚕️ Hologic (HOLX-Q) +7.68%
