Markets slide on inflation worries
On Wednesday, the U.S. Labor Department issued inflation data for April which showed the biggest rise in almost 12 years. This triggered sharp selling across the board with the Nasdaq closing -2.67%, the S&P -2.14%, the Dow -1.99% and the TSX -0.91% which enjoyed some support from rising oil prices.
Industrials were hard hit, like Boeing at -3.54% and Honeywell at -3.95%. Even the homebuilding space saw losses as Home Depot closed down over 4%. Many FAANG names were down 2-3%, such Microsoft at -2.94%. Oil was an oasis with Occidental Petroleum rising 2.41%. The price of WTI climbed nearly 1% and the U.S. 10-year inched up to 1.695%. Bitcoin slid 4% and gold retreated 1%. Wall Street is openly questioning how long the U.S. Fed can maintain its dovish stance on interest rates, though many see inflation as a transitory phase.
As mentioned, oil cushioned the TSX’s fall as the price of WCS rose nearly 1.5%. Cenovus rallied 2.78% and Whitecap Resources climbed 3.15%. In contrast, Western Forest Products plunged 10.32%. Earnings continued to roll in. Intertape Polymer jumped after reporting a strong quarter and Savaria leapt 6.81% after beating its own quarter. However, Hudbay Minerals plunged 7% after posting a Q1 loss.
🛫 Boeing -3.54%
💾 Honeywell International -3.95%
🛠 Home Depot -4%
Ⓜ Microsoft -2.94%
🛢 Occidental Petroleum Corp +2.41%
🅱 The Bitcoin Fund -4%
🛢 Cenovus Energy +2.78%
🛢 Whitecap Resources +3.15%
🌲 Western Forest Products Inc. -10.32%
📦 Intertape Polymer Group +3.58%
♿ Savaria Corp +6.81%
⛏ Hudbay Minerals Inc. -7%
