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Canadian Shares Down In Negative Territory On Growth Worries

After opening with a big negative gap, the Canadian stock market staged a modest recovery and pared some losses Thursday morning, but the undertone remains weak due to rising concerns about surging virus cases, disappointing jobs data and lower commodity prices.

The benchmark S&P/TSX Composite Index, which tumbled to 16,289.95 in early trades, losing nearly 170 points in the process, is now down 98.87 points of 0.6% at 16,356.53.

Energy and healthcare shares are among the most prominent losers. Several stocks from materials and information technology sections are also notably lower. Financial and industrial shares are turning in a mixed performance.

The Capped Energy Index is down 2%. Cenovus Energy (CVE.TO), MEG Energy (MEG.TO), Vermilion Energy (VET.TO), Suncor Energy (SU.TO), Seven Generations Energy (VII.TO) and Enerplus Corp (ERF.TO) are losing 2 to 4%.

The Capped Healthcare Index is down more than 2.5%. Aphria Inc. (APHA.TO) is plunging nearly 16%. Aurora Cannabis (ACB.TO) is down 4.2%, Cronos Group (CRON.TO) is declining 2.8% and Canopy Growth Corp (WEED.TO) is losing about 2%.

In the materials section, Silvercorp Metals (SVM.TO), Pan American Silver Corp (PAAS.TO), Ssr Mining (SSRM.TO), Hudbay Minerals (HBM.TO) and Teck Resources (TECK.B.TO) are down 2 to 3%.

In the financial space, Fairfax Financial Holdings (FFH.TO), Royal Bank of Canada (RY.TO) and Canadian Imperial Bank of Commerce (CM.TO) are modestly higher, while CDN Western Bank (CWB.TO), Laurentian Bank (LB.TO), Bank of Montreal and Onex Corp (ONEX.TO) are notably lower.

Technology shares Lightspeed Pos (LSPD.TO), Shopify Inc. (SHOP.TO), Descartes Systems Group (DSG.TO), Sierra Wireless (SW.TO), Enghouse Systems (ENGH.TO), Open Text Corporation (OTEX.TO) and Kinaxis Inc. (KXS.TO) are down 1 to 3%.

On the economic front, private businesses in Canada shed 240,800 jobs in the month of September, more than a loss of 205,000 jobs a month earlier.

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