(Reuters) – Canada’s main stock index reversed early gains to trade lower on Monday on persisting worries over the economic damage from coronavirus pandemic, although gains in energy stocks after major oil producers agreed to output cuts limited losses.
Fears of a deep global recession continue to weigh on sentiment as the health crisis sparks production halts and mass furloughs. Earnings from U.S. companies are in focus this week.
The energy sector .SPTTEN rose 1.3% after major producers agreed record global output cuts to reduce a supply glut as the coronavirus pandemic hammers demand.
At 09:43 a.m. ET (13:43 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE was down 163.29 points, or 1.15%, at 14,003.34
The index, which opened higher, was set to break a four-session winning streak. Last week, TSX rose 9.5% to post its biggest percentage gain in 11 years.
The materials sector .GSPTTMT, which includes precious and base metals miners and fertilizer companies, lost 0.9% as gold futures GCc1 fell 1.3% to $1,713.9 an ounce.
On the TSX, 26 issues were higher, while 200 issues declined for a 7.69-to-1 ratio to the downside, with 30.22 million shares traded.
The largest percentage gainers on the TSX were Baytex Energy Co (BTE.TO), which jumped 2.5%, and Shopify Inc (SHOP.TO), which rose 1.8%.
Aurora Cannabis (ACB.TO) fell 13.9%, the most on the TSX, while the second biggest decliner was Brookfield Property Partners (BPY_u.TO), which fell 7.9%, after Canaccord Genuity cut its price target on stock by 35% to $13.
The most heavily traded shares by volume were Aurora Cannabis (ACB.TO), Cenovus Energy (CVE.TO) and Bombardier (BBDb.TO).
The TSX posted one new 52-week high and no new low.
Across all Canadian issues there were seven new 52-week highs and one new low, with total volume of 51.97 million shares.
Reporting by Susan Mathew in Bengaluru; Editing by Amy Caren Daniel