TSX Today: What to Watch for in Stocks on Wednesday, June 5

Besides important economic releases from the U.S., the Bank of Canada’s interest rate decision and press conference will remain on TSX investors’ radar today.

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tsx today

Consistently declining crude oil and metals prices drove Canadian equities downward for a second consecutive session on Tuesday, even though slightly worse-than-expected U.S. job openings data heightened investors’ hopes for interest rate cuts. The S&P/TSX Composite Index fell 139 points, or 0.6%, yesterday to settle at 21,978 — closing below the important 22,000 level for the second time in a month.

Despite heavy losses in most commodity-linked stocks, gains in other key sectors, including industrials and technology, helped limit the day’s losses for the TSX benchmark.

Top TSX Composite movers and active stocks

Mining stocks like SSR Mining, Energy Fuels, Ero Copper, Pan American Silver, and Ivanhoe Mines tanked by at least 6.5% each, making them the worst-performing TSX stocks for the day.

On the positive side, shares of Russel Metals (TSX:RUS) surged by nearly 5% to $30.09 per share, making it the top performer on the Toronto Stock Exchange. This rally in RUS stock came after the Mississauga-headquartered metals distribution firm told investors that it has received regulatory clearance from the Canadian Competition Bureau for its acquisition of seven service centre locations from Samuel Son & Co.

Russel now expects the transaction to close in the third quarter of 2024 after the completion of customary closing conditions. Despite the recent rally, however, RUS stock is still down around 15% on a year-to-date basis and offers a decent 4.6% annualized dividend yield.

GFL Environmental, Enghouse Systems, and Innergex Renewable Energy were also among the day’s top-performing TSX stocks as they inched up by at least 4.3% each.

According to the exchange’s daily trade volume data, Suncor Energy, Canadian Natural Resources, Baytex Energy, Cenovus Energy, and Barrick Gold were the five most active stocks.

TSX today

After falling sharply for several consecutive sessions, crude oil and gold prices witnessed minor recovery early Wednesday morning, which could lift TSX commodity-linked stocks at the open today.

Besides the non-farm employment change, non-manufacturing purchasing managers index (PMI), and services PMI data from the United States, Canadian investors will closely watch the Bank of Canada’s interest rate decision this morning, which could give further direction to stocks. In the afternoon, the Canadian central bank’s press conference will remain on the market’s radar.

On the corporate events side, TSX-listed companies Transcontinental and North West Company are expected to announce their latest quarterly results on June 5.

Market movers on the TSX today

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

The Motley Fool has positions in and recommends Enghouse Systems. The Motley Fool recommends Canadian Natural Resources, North West, Russel Metals, and Transcontinental. The Motley Fool has a disclosure policy. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

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