The selloff in Canadian stocks intensified on Wednesday after the U.S. Federal Reserve cut interest rates by 25 basis points, which was in line with expectations, but it hinted at a cautious outlook for further monetary easing. An apparent shift in the Fed’s tone, coupled with big intraday declines in gold and silver prices, drove the S&P/TSX Composite Index down by 563 points, or 2.2%, to 24,557 — marking its worst single-day percentage decline since February.
While all main sectors ended the session with losses, the market selloff was mainly led by massive declines in technology, mining, healthcare, and real estate stocks.
The U.S. Fed could turn “more cautious”
In his policy press conference, the Fed chair Jerome Powell highlighted the central bank’s careful balancing act as it navigates the twin goals of fostering maximum employment and achieving stable prices. However, his comments about being…
