Canadian equities slid for the second consecutive session on Thursday, as investors continued to weigh on the potential impact of high treasury yields on the stock market. Notably, the U.S. 10-year Treasury yield popped to its highest level since 2008. The S&P/TSX Composite Index ended the session with a 95-point, or 0.5%, loss, at 18,579. While rising commodity prices helped metals mining and energy stocks inch up on the TSX, heavy losses in the shares of companies from utilities, industrials, consumer cyclicals, and financials sectors dragged the index down.
Top TSX movers and active stocks
Shares of Mullen Group (TSX: MTL) dived by 9.1% on Thursday to $13.34 per share after the firm released its September quarter results. During the quarter, the Canadian logistics company’s revenue climbed by 20%, and its adjusted earnings jumped by 117% from a year ago. Factors like high fuel surcharge revenue, healthy demand, incremental revenue from acquisitions, and general rate increases boosted Mullen’s quarterly results. However, its revenue and earnings still fell short of analysts’ estimates, which could be the primary reason for triggering a selloff in its stock. Year to date, MTL stock now trades with 14.7% gains.
Similarly, Winpak stock fell by 7.1% yesterday to $42.74 per share after its third-quarter results came out. While its revenue exceeded analysts’ estimates in the September quarter, its adjusted earnings missed expectations by more than 10%.
Home Capital Group and TFI International were also among the worst-performing TSX stocks on October 21, as they fell by at least 5% each.
On the positive side, First Majestic Silver, Shopify, First Quantum Minerals, and Bombardier rose by at least 4% each, making them the top-performing TSX Composite components for the day.
Based on their daily trade volume, Enbridge, Canadian Imperial Bank of Commerce, Cenovus Energy, and TC Energy were the most active stocks on the exchange.
TSX today
Early Friday morning, commodity prices were largely trading on a negative note, pointing to a lower open for the TSX mining and energy shares today. Besides corporate earnings, Canadian investors may want to keep a close eye on the monthly core retail sales data this morning, which could give further direction to stocks.
Corus Entertainment announced its worse-than-expected August quarter financial results Friday morning before the market opening bell. The Canadian media and content firm’s management cited macroeconomic uncertainties and low advertising demand for its poor performance in the last quarter. Given that, I expect Corus stock to trade on a bearish note on the TSX today.
