The TSX Composite Index fell sharply early Tuesday morning and is currently down 88.45 points on the day after mining and oil companies experienced marked lows.
The federal government plans to release an update on its economic outlook later today, an update which comes as inflation continues to rise and, Reuters pointed out in a recent article, some business groups and opposition politicians call for more spending restraint.
Market sentiment globally was subdued, following forecasts of a faster withdrawal of policy support by the United States Federal Reserve. The U.S. central bank will release its policy decision on Wednesday.
The Bank of Canada renewed its policy framework on Monday, holding to its inflation target of 2 per cent for 2022 to 2026.
Within that framework, explained the bank, is built-in flexibility that will allow the bank to respond to changes in the Canadian economy such as lower interest rates, technological advances, and shifts in the job market.
The energy sector dropped 0.4 per cent, according to Reuters, as U.S. crude prices fell 1.1 per cent a barrel and Brent crude lost 1.2 per cent.
In trending news, the Bank of Nova Scotia (TSX:BNS) hit an all-time high this morning, trading at $86.59 per share at 10:15 am EST, and is up 0.48 per cent on the day at 3:06 pm.
This announcement comes as the bank announced on Monday that it is launching its new Scene+ loyalty program, enhancing the program for its millions of members across the country. The bank also announced that it is holding off on its plan to bring employees back to its Toronto head office in light of concerns brought on by the Omicron variant.
Gold is down 0.53 per cent on the day, trading at C$2,278.55 per ounce as of Tuesday afternoon. Oil stocks are also down, with Canadian Crude oil going for $56.05 as of yesterday afternoon.
Mining stocks are trending today, with Galway Metals (TSXV:GWM) leading the trending list up 10.17 per cent to $0.65 per share. I-80 Gold Corp. (TSX:IAU) is also trending on the market today, up 5.19 per cent as of 3:21 pm EST.
In other market news, TraceSafe (CSE:TSF) announced yesterday that it has been chosen to provide health and safety technology for the 2022 IIHF World Juniors.