The stock market in Canada turned bearish on Thursday following the release of the hotter-than-expected U.S. consumer inflation numbers, which raised concerns that the Federal Reserve might need to maintain elevated interest rates for an extended period to fight inflationary pressures. After tanking by as much as 216 points in intraday trading, a late recovery helped the S&P/TSX Composite Index trim its losses to end the session with a 71-point decline at 20,918.
Despite positive movement in consumer cyclical and energy stocks, a selloff in other key market sectors like healthcare, utilities, and financials pressured the TSX benchmark.
According to the U.S. Bureau of Labor Statistics, the country’s consumer price gauge for all urban consumers rose 0.3% in December 2023, higher compared to a 0.1% increase in the previous month. This increase was largely influenced by the shelter index, which contributed more than half of the…
