Economic releases this week and TSX summary

By Staff | May 8, 2017 | Last updated on May 8, 2017
2 min read

The Canadian economic calendar is light this week, says Prab Sagoo, associate director at Nasdaq Advisory Services, in his latest weekly update. Only building permits (Tuesday) and housing data (released Monday) are on the cards.

Meanwhile, in the U.S., import-export (Wednesday), and consumer and retail data (both Friday) will be released.

Earnings will continue to roll in, with several companies reporting on Wednesday and Thursday, he notes, including Sun Life Financial, CI Financial Corp., Power Corporation of Canada, Brookfield Asset Management, Onex, Enbridge, Emera, Keyera, Magna International, Franco-Nevada, Silver Wheaton and Telus.

Read: Today’s Q1 earnings roundup

Also, the S&P/TSX announced a consultation on the liquidity measure used to calculate float turnover in its benchmark indices, with a proposal to include the total number of shares traded on U.S. exchanges.

Last week’s market activity

  • The TSX finished the week flat, underperforming gains in the S&P 500, says Sagoo. Underperformance was resource-based, with materials names dropping nearly 4%, their largest weekly decline since mid-December. Metals suffered notably, with gold prices down 3%, and silver saw a loss of about 6%, its heaviest weekly loss in eight months.
  • A 6% fall in oil prices meant energy stocks also underperformed. The sector is trading near nine-month lows and at key technical support levels.

Read: TransCanada deal won’t solve natural gas issues

  • Small caps underperformed, with about 10% of the TSX in technically oversold territory.
  • The loonie continued to weaken, now trading close to its lowest point since February 2016. Hedge fund shorting is responsible for the recent weakness, says Sagoo, noting bearish sentiment against the loonie from hedge funds is at the same levels as when oil was trading at about $31 per barrel.

Also read: Loonie to hit trough in Q3: forecast staff


The staff of have been covering news for financial advisors since 1998.