Health Weighs on Canadian Stocks as Government Eyes New Tariffs

(Bloomberg) -- Canadian stocks fell as the federal government considered new quotas and tariffs to curb an increase in foreign steel imports as a result of the ongoing trade war.

The S&P/TSX Composite Index fell 0.4 percent to 16,494.73 points. Health care led losses, tumbling 3.3 percent, the most in more than two weeks. Aphria Inc. dropped 7.2 percent as cannabis stocks weighed on the sector.

Among the outperformers, bus maker NFI Group Inc. climbed 3.1 percent, the most since March, after saying it expects rising aluminum and steel prices to have an "immaterial" impact.

In other moves:

Stocks

  • Guyana Goldfields Inc. fell 22 percent, the most since 2008, after second quarter mining fell behind by about 2.5 million tonnes
  • Pan American Silver Corp. dropped 3.9 percent after Scotiabank downgraded the company to sector perform from sector outperform
  • Bombardier Inc. fell 3.5 percent even as Canada’s innovation minister said that he expects to hear good news on Airbus 220 sales. Even so, Cormark Securities downgraded the aircraft maker to reduce from market perform

Commodities

  • Western Canada Select crude oil traded at a $16.25 discount to WTI
  • Gold was little changed at $1,241.10 an ounce

FX/Bonds

  • The Canadian dollar strengthened 0.2 percent to C$1.3137 per U.S. dollar
  • The Canada 10-year government bond yield rose 0.5 basis points to 2.138 percent

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