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TSX Ends Notably Lower As Energy, Technology Stocks Tumble

The Canadian stock market ended notably lower on Thursday, as energy and technology shares tumbled, tracking lower crude oil prices and a sell-off in U.S. technology space.

News about the a proposed U.S. coronavirus stimulus package failing to get the Senate approval hurt sentiment.

A disappointing jobless claims data from the U.S., and lingering worries about surging coronavirus cases and uncertainty about the pace of economic recovery also rendered the mood bearish.

Apart from energy and technology shares, several shares from telecom, utilities, materials, financial and consumer staples sections suffered sharp losses. Consumer discretionary and real estate stocks too were mostly weak, while industrial and healthcare stocks turned in a mixed performance.

The benchmark S&P/TSX Composite Index, which advanced to 16,431.59 in early trades, ended down 198.28 points or 1.21% at 16,185.32, after hitting a low of 16,153.18.

Descartes Systems Group (DSG.TO) tumbled more than 6.5%. Kinaxis Inc. (KXS.TO), Cenovus Energy (CVE.TO), Alimentation Couche -Tard (ATD.B.TO), Imperial Oil (IMO.TO) and Pembina Pipeline Corp (PPL.TO) lost 3 to 4%.

Manulife Financial (MFC.TO), Bausch Health Companies (BHC.TO), Franco-Nevada Corp (FNV.TO), Kinross Gold (K.TO) and B2Gold Corp (BTO.TO) ended lower by 2 to 3%.

Canadian Imperial Bank of Commerce (CM.TO), Bank of Montreal (BMO.TO), Royal Bank of Canada (RY.TO) and Toronto-Dominion Bank (TD.TO) also ended notably lower.

Among the gainers, Empire Company (EMP.A.TO) moved up 4.25%. Toromont (TIH.TO) and Cogeco Communications (CCA.TO) gained 1.8% and 1.2%, respectively.

U.S. stocks tumbled after a coronavirus relief package failed win the Senate nod. A sell-off in technology space too contributed to the downturn. The Dow ended down 1.5%, the Nasdaq plummeted 2% and the S&P 500 closed lower by 1.8%.

Most of the markets across Europe closed lower, while markets across the Asia-Pacific region turned in a mixed performance.

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