S&P/TSX down 4th day in a row to 20,633.06, trades above 21-day SMA

Canadian stocks settled in red for the fourth consecutive session, down 0.35% to 20,633.06. The negative closing was mainly driven by weakness in large weightage financials, industrials and utilities stocks which was partially offset by strength in energy, healthcare, and base metal stocks.

Increasing Delta variant cases in North America is taking a toll on bulls as hospitalization cases are ramping up and a fear of a new wave of travel restrictions could further hit the pace of economic growth which is already growing at a pace below expectation.

However, the index managed to trade above its 21-day SMA which acts as crucial short-term support for the index.

One-year price chart (as on September 13, 2021). Analysis by Kalkine Group

Gainers and laggards

Active volume

Canadian Natural Resources Limited, Suncor Energy Inc. and Denison Mines Corp. Were the most actively traded shares from a volume standpoint.

Wall Street update

Stocks struggled to maintain an early rising trend on Friday, September 10, and came under pressure throughout the trading day. The Dow and the S&P 500 finished down for the fifth consecutive session as a result of the day's decline.

The Dow Jones Industrial Average dropped 271.66 points or 0.8% to 34,607.72, its lowest closing level in more than a month. The Nasdaq Index down 132.76 points or 0.9% to 15,115.49 while the S&P 500 Index fell 34.70 points or 0.8% to 4,458.58.

Commodity update

Gold traded at US$ 1,792.10/oz, down 0.44%.

Brent oil rallied to US$ 72.92/bbl up 2.06%, while Crude oil also traded lower at US$ 69.72/bbl up by 2.32%.

Currency news

The Canadian Dollar slide against the U.S. Dollar on September 10, while USD/CAD closed at 1.2662, down 0.21%.

The U.S. Dollar was up against the basket of major currencies on Friday and closed at 92.64, adding 0.17%.

Money market:

On September 10, the U.S. 10-year bond yield jumped 3.52% and ended at 1.343%.

The Canada 10-year bond yield soared on Friday’s trade and closed in the green at 1.237, up 5.19%.

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