On Tuesday, the Canadian market closed with a dip, primarily due to significant declines in the energy sector as oil prices depreciated following reports indicating that Israel will refrain from targeting Iranian oil and nuclear facilities, allaying fears of potential supply disruptions.
Despite the downturn, the market's losses were somewhat tempered by subdued Canadian inflation data.
The S&P/TSX Composite Index finished the day at 24,439.08, down 32.09 points or 0.13%. After hitting a low of 24,357.87, the index managed to rebound to 24,479.22 before scaling back its gains.
The Energy Capped Index plummeted by 4.79%, with notable losses from Baytex Energy (BTE.TO), International Petroleum Corp (IPCO.TO), Kelt Exploration (KEL.TO), Vermilion Energy (VET.TO), Tamarack Valley Energy (TVE.TO), Canadian Natural Resources (CNQ.TO), Cenovus Energy (CVE.TO), Nuvista Energy (NVA.TO), MEG Energy (MEG.TO), and Suncor Energy (SU.TO), all declining between 5% and 6.3%.
Conversely, healthcare stocks demonstrated resilience, with Bausch Health Companies (BHC.TO), Chartwell Retirement Residences (CSH.UN.TO), and Sienna Senior Living (SIA.TO) posting gains of 5.7%, 2.7%, and 2.5%, respectively.
In the utilities sector, Emera Incorporated (EMA.TO) and Hydro One (H.TO) rose by 4.1% and 3.2%, respectively, while Fortis Inc (FTS.TO), Canadian Utilities (CU.TO), Innergex Renewable Energy (INE.TO), and Algonquin Power & Utilities Corp (AQN.TO) increased by 2% to 4.1%. Atco Ltd. (ACO.X.TO) also advanced nearly 2%.
The real estate sector saw gains as well, with Dream Industrial (DIR.UN.TO) and Crombie Real Estate Investment (CRR.UN.TO) appreciating by about 3.2% and 2.5%, respectively. Choice Properties (CHP.UN.TO) and CT Real Estate Investment (CRT.UN.TO) each saw gains of just over 2%.
Primo Water Corporation (PRMW.TO) shares rose by 3.3% following the company's announcement that its Board of Directors has declared a special dividend of US$0.82 per share, payable on November 21, 2024, to shareholders recorded as of November 5, 2024.
According to Statistics Canada, the annual inflation rate in Canada decreased to 1.6% in September from 2% in the preceding month, marking the lowest level since February 2021. The consumer price index fell by 0.4% in September compared to the previous month.
Additionally, the annual core inflation rate in Canada inched up to 1.6% in September from a 1.5% low in the previous month, a 3-1/2-year nadir. Core consumer prices remained unchanged month-over-month, following a 0.1% dip in the prior month.
In a separate report, Statistics Canada indicated that wholesale sales in Canada fell by 0.6% month-over-month to $81.9 billion in August. This decline was less severe than the preliminary estimate of a 1.1% drop and followed a downwardly revised 0.3% increase in July.
