There has been a recurring trend over the last week or so on the TSX. That trend? Material and energy stocks taking a beating. Today was no exception, as the TSX saw only 6 out of 42 major energy stocks in the green, and 37 of 47 material stocks were in the red.
This is coming off relatively steady trading from both oil and gold. WTI Crude saw an increase of $0.27, up to $54.51 USD a barrel and gold lost a mere 0.17%, trading at $1471 an ounce. Another industry that suffered large losses today was the Canadian cannabis industry, as Aphria (TSX:APHA) and Aurora Cannabis (TSX:ACB) suffered large single day losses.
So what Canadian stocks lost the most today? Lets take a look.
IAmGold Corp (TSX:IMG): -6.61%
Turquoise Hill Resources (TSX:TRQ): -6.06%
Guyana Goldfields Inc (TSX:GUY): -6.00%
Torex Gold Resources (TSX:TXG): -5.96%
First Majestic Silver (TSX:FR): -5.49%
New Gold Inc (TSX:NGD): -5.00%
Aurora Cannabis (TSX:ACB): -4.90%
Fortuna Silver Mines (TSX:FVI): -4.87%
Other notable losses include Aphria, which suffered a drop of 4.84% today and Baytex Energy, which dropped 4.85%. It is clear that the accusations that THC vaping devices are the culprit for the illnesses and deaths in the United States is wearing on the industry. This comes at an unfortunate time for Canadian cannabis companies, as they are investing millions of dollars into alternative products for consumers that provide higher margins, like vapes.
On a day that the TSX fell 0.21%, there wasn’t many high profile gainers today. We saw industrial stocks flourish, as 17 of the 22 majors were up on the day, along with consumer staples. We witnessed strong performances from TFI International (TSX:TFII) and First Quantum Minerals (TSX:FM). TFI’s increase today was likely the result of a share buyback program, where the company may repurchase a maximum of 7,000,000 shares for cancellation. If you’re new and learning how to buy stocks, “cancellation” means the company intends to purchase them and eliminate them from the overall market, reducing the total shares outstanding.
Here are the biggest gainers on the day:
Interfor Corp (TSX:IFP): +2.94%
Bombardier (TSX:BBD.B): +2.87%
First Quantum Minerals (TSX:FM): +2.77%
TFI International (TSX:TFII): +2.74%
Labrador Iron Ore Royalty (TSX:LIF): +2.58%
Brookfield Renewables (TSX:BEP.UN): +2.34%
BRP Inc (TSX:DOO): +2.16%
Hudsons Bay Company (TSX:HBC): +1.91%
Overall, it was a relatively quiet day on the TSX, and it will be interesting to see how the rest of the week plays out. I’d expect continued volatility from the material and energy sector moving forward until prices start to settle.