As of early afternoon on Friday, the Canadian market has taken a downturn, with the sectors of communication, real estate, consumer discretionary and materials sustaining losses. Without fresh data to assess, traders seem to be exercising caution. After recent record highs, some are opting to secure profits instead of maintaining their positions.
Around an hour past midday, the benchmark S&P/TSX Composite Index had fallen by 100.97 points, or 0.46%, to 21,986.29.
There are some slight shifts in the economic landscape. Preliminary statistics point to a possible 0.1% increase in retail sales throughout February in Canada. Conversely, January saw a 0.3% decrease in retail sales from December, a slight improvement from the previously estimated 0.4% drop. Taking out the sales of motor vehicles and related parts, Canada's retail sales in January showed a 0.5% increase compared to the previous month. This was marginally lower than December's 0.6% increase.
Several companies including Dayforce, Nutrien, Kinaxis Inc, Dollarama Inc, CGI Inc, Ag Growth International and BRP Inc have seen their shares drop between 1.6 to 2.8%.
However, a glimmer of positive industry news has given cannabis stocks a substantial boost. Applauding the German government's decree to officially classify cannabis as a non-narcotic from April 1, Canopy Growth Corporation's stocks have surged by nearly 40%, and Aurora Cannabis's shares have grown by 18%.
Notable revenue gains are also being enjoyed by other corporations. For instance, Canadian Tire Corporation has seen a 6% increase, while Molson Coors Canada Inc and Boyd Group Services have grown by 2% and 1.3% respectively.
