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CANADA STOCKS-TSX ends flat as gold stocks drop, mood cautious ahead of rate decision
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CANADA STOCKS-TSX ends flat as gold stocks drop, mood cautious ahead of rate decision
Apr 8, 2024 2:57 PM

*

TSX closes down 0.02%

*

Healthcare, resources stocks decline

*

Perpetua Resources receives nod for $1.8 bln loan; shares

gain

32%

(Updates with closing numbers)

By Purvi Agarwal and Divya Rajagopal

April 8 (Reuters) - Canada's main stock index ended flat

on Monday, as gains in financials and industrial stocks were

offset by losses in healthcare driven by Bausch Health ( BHC ).

Investors were cautious ahead of Wednesday's Bank of Canada

interest rate decision, when the central bank is expected to

hold rates steady, and release new economic growth projections.

The Toronto Stock Exchange's S&P/TSX composite index

was down 4.08 points, or 0.02%, at 22,260.30.

Energy and gold stocks fell, tracking losses in oil and

bullion prices. Energy and materials shares

were down 0.22% and 0.56%, respectively.

Elvis Picardo, senior portfolio manager with Luft Financial,

iA Private Wealth said investors were booking profits in energy

and gold stocks after their recent runup.

Healthcare shares declined 1.8%, pulled down

by Bausch Health ( BHC ) that lost 7% after the company

announced on Friday that it was filing a patent lawsuit against

Amneal Pharmaceuticals ( AMRX ).

Among the top movers, GoEasy Ltd ( EHMEF ) led the bourse

with a 4.4% gain.

Six of the eleven sectors traded lower on the index,

with industrial shares limiting losses with a 0.6%

gain.

The Bank of Canada is set to announce its next decision on

borrowing costs on Wednesday, where the central bank is widely

expected to leave rates unchanged.

"The last two CPI reports in Canada have been encouraging.

Still, policymakers are likely to be cautious, noting that

further progress is needed," said strategists at the National

Bank of Canada.

Investors will monitor crucial economic data in the U.S.,

due later in the week, alongside the minutes of the Federal

Reserve's last monetary policy meeting for more cues on the

timing of rate cuts in the year.

In Canadian corporate news, Perpetua Resources

gained 32% after the miner received a letter of interest from

the U.S. Export-Import Bank (EXIM) for a loan worth up to $1.8

billion to develop an antimony and gold mine in northern Idaho.

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