TSX Ends Moderately Lower After CPI Data

(RTTNews) - The Canadian market ended modestly lower on Tuesday as hot inflation data, and growth worries due to Trump's tariffs weighed on sentiment. Also, investors stayed cautious ahead of the Federal Reserve's monetary policy announcement, due on Wednesday.

A bigger than expected rise in inflation has raised concerns that the Bank of Canada will go slow on monetary easing.

The benchmark S&P/TSX Composite Index closed down 79.04 points or 0.32% at 24,706.07, recovering well from a low of 24,572.33.

Technology and real estate stocks were among the notable losers. Industrials stocks were also a bit weak. Shares from the rest of the sectors turned in a mixed performance.

Celestica Inc. closed lower by about 4.4%. Chorus Aviation ended 3.4% down. Shopify Inc., BlackBerry, Onex Corporation, Cargojet, Alimentation Couche-Tard, Novagold Resources and Constellation Software closed lower by 2 to 3%.

Colliers International Group, Transcontinental, Canopy Growth Corporation, Kinaxis, Chartwell Retirement Residences, Linamar, Russel Metals, Ballard Power Systems and EQB also closed sharply lower.

Among the gainers, Tilray, Westshore Terminals and Corus Entertainment gained 5.2 to 5.5%. Ero Copper, Fortuna Silver Mines, Interfor, Torex Gold Resources, Lundin Gold, Brookfield Business Partners, Centerra Gold, First Quantum Minerals, OceanaGold, Seabridge Gold, Canfor, Hudbay Minerals, Canadian Tire Corporation and B2Gold Corp climbed 1.7 to 4%.

Data from Statistics Canada said the annual inflation rate in Canada jumped to 2.6% in February from 1.9% in the previous month, the highest in eight months, as a sales tax break that ended mid of last month pushed prices higher amid an already broad-based price increase.

The Bank of Canada had forecast inflation to come in at 2.5%. Inflation index increased 1.1% in February over the previous month.

The annual core inflation rate in Canada rose for the fourth month to 2.7% in February, the highest level in fifteen months. On a monthly basis, core consumer prices increased by 0.7% in February, up from 0.4% in the prior month.