(Updates with morning prices)
By Sanchayaita Roy
June 3 (Reuters) - Canada's main stock index slipped on
Tuesday, led by losses in metal miners' shares, as investors
awaited clarity on U.S. tariff negotiations amid ongoing
economic uncertainty.
The Toronto Stock Exchange's S&P/TSX composite index
was down 0.2% at 26,338.04 points. The index notched a
record high in the previous session.
On Monday, the White House said that U.S. President Donald
Trump and Chinese leader Xi Jinping will probably speak this
week to iron out trade issues.
Investors will closely monitor the call between the two
leaders, as ongoing tariff-induced trade tensions between the
world's two largest economies have caused significant volatility
in global equities and businesses.
"The temporary easing of tariffs between the U.S. and China
has offered some relief, but Canadian investors remain
cautious...watching for signs of meaningful progress before
repositioning portfolios", said Shiraz Ahmed, senior portfolio
manager and founder of Sartorial Wealth, Raymond James.
Additionally, the Trump administration wants countries to
provide their best offer on trade negotiations by Wednesday.
However, concerns prevailed over the implementation of
Trump's tariffs after they ran into legal hurdles last week,
with the administration asking an appeals court to pause a
second court ruling.
The Paris-based Organisation for Economic Cooperation and
Development (OECD) trimmed its global growth outlook and said
the trade war was taking a bigger toll on the U.S. economy than
before.
"Slower U.S. growth poses spillover risks for Canada, making
it even more important for investors here to stay globally
diversified", Shiraz added.
Focus will be on the Bank of Canada's interest rate due on
Wednesday.
On TSX, the materials group fell 1.2%, as gold
pulled back after nearing a four-week high earlier in the
session, while the healthcare sector fell 0.9%.
Conversely, energy subindex rose 0.5% as oil
prices edged up.