16.12.202514:54:08UTC+00TSX Pressured by Energy Giants

The S&P/TSX Composite Index experienced a decline of approximately 0.3%, settling just below the 31,450 mark on Tuesday. This downturn was largely driven by significant losses in the energy sector, as investors processed increasing signs of a slowing US economy. Leading the downturn were major energy producers such as Canadian Natural Resources, Suncor, Imperial Oil, and Cenovus, which fell between 2% and 3.4%. This drop coincided with a continued decrease in oil prices due to ongoing concerns about oversupply. Meanwhile, the financial, mining, and technology sectors saw little movement or recorded slight declines, as delayed US economic data contributed to a cautious market outlook. Investors continue to anticipate the possibility of at least one more interest rate cut next year. Recent jobs data indicated the US economy added 64,000 jobs in November, surpassing the anticipated 50,000, while the unemployment rate unexpectedly increased to 4.6%—its highest since 2021—highlighting a cooling labor market. Additionally, retail sales remained stagnant, further suggesting a slowdown in consumer demand.