Toronto-listed stocks ended the session on a softer note Thursday as sector-level weakness in Healthcare, Information Technology and Materials pressured the broader index.
At the close in Toronto, the S&P/TSX Composite fell 0.12%.
The session's strongest performers on the S&P/TSX Composite were Waste Connections Inc (TSX:WCN), which gained 8.26% or 17.65 points to finish at 231.36 at the close. Mullen Group Ltd. (TSX:MTL) climbed 6.81% or 1.24 points to end at 19.44, and Canadian Pacific Kansas City Limited (TSX:CP) advanced 5.00% or 5.62 points to 118.08 in late trade.
On the downside, Curaleaf Holdings Inc (TSX:CURA) led declines, falling 23.66% or 1.24 points to trade at 4.00 at the close. Discovery Silver Corp (TSX:DSV) declined 7.50% or 0.76 points to finish at 9.37, while Shopify Inc (TSX:SHOP) slipped 5.73% or 10.35 points to close at 170.27.
Market breadth in Toronto showed more falling names than advancing ones, with 503 stocks lower and 451 higher; 77 issues ended unchanged.
Shares of Mullen Group Ltd. (TSX:MTL) reached five-year highs during the session, closing up 6.81% or 1.24 at 19.44.
Volatility measured by the S&P/TSX 60 VIX rose 0.62% to 17.72, reflecting a modest increase in implied option-based volatility for the Canadian benchmark.
In commodities, Gold Futures for June delivery eased 1.00% or 47.31 to $4,705.69 a troy ounce. Energy contracts moved higher: crude oil for June delivery rose 3.90% or 3.63 to $96.59 a barrel, and the June Brent oil contract increased 3.95% or 4.03 to trade at $105.94 a barrel.
Currency markets showed little change for the Canadian dollar against major peers. CAD/USD was reported unchanged 0.18% to 0.73, while CAD/EUR was unchanged 0.02% to 0.62. The US Dollar Index Futures was higher by 0.24% at 98.64.
Overall, trading finished with mixed internal dynamics - select large-cap gainers offset by notable weakness in several sectors, while commodity price swings and a modest rise in volatility provided additional context for market participants.
Key points
- S&P/TSX Composite closed down 0.12% as Healthcare, IT and Materials underperformed.
- Top gainers included Waste Connections (WCN), Mullen Group (MTL) and Canadian Pacific Kansas City (CP); leading decliners included Curaleaf (CURA), Discovery Silver (DSV) and Shopify (SHOP).
- Commodities showed divergence - crude oil rose sharply while gold futures fell; the S&P/TSX 60 VIX moved higher.
Risks and uncertainties
- Elevated single-stock volatility - exemplified by Curaleaf's 23.66% drop - can increase downside risk in sector exposures, particularly within Healthcare and related industries.
- Shifts in commodity prices, with crude oil up and gold down, introduce uncertainty for energy and materials sectors that can influence earnings and market sentiment.
- An uptick in implied volatility, as shown by the S&P/TSX 60 VIX rising to 17.72, signals greater option-implied risk expectations that may lead to wider trading ranges.