The markets today

Canada’s main stock index closed lower to start a busy week with investors focused on an expected interest rate cut by the U.S. Federal Reserve. North American stock markets are eagerly awaiting a rate decision Wednesday afternoon and commentary about possible future rate action, says Allan Small, senior investment adviser at HollisWealth.

The U.S. central bank is expected to cut rates for the first time since the Great Recession with Chairman Jerome Powell providing commentary about his views of the economy. Small expects there will be just one cut because the U.S. economic data has been strong. The S&P/TSX composite index was down 38.87 points at 16,492.17 points, after being dragged down by technology as Shopify Inc. decreased 5.1 per cent and the key energy sector fell despite higher crude prices.

Vermilion Energy Inc. dropped 7.33 per cent after reporting decreased quarterly production in the second quarter. Husky Energy Inc. was down about four per cent and Cenovus Energy Inc. was off 3.7 per cent.

The September crude contract was up 67 cents at US$56.87 per barrel and the September natural gas contract was down 3.4 cents at US$2.12 per mmBTU.

Health care shares fell by one per cent with Cronos Group Inc, Canopy Growth Corp., Aphria Inc. and Aurora Cannabis Inc. all lower, while Hexo Corp. bucked the trend with a 9.2 per cent gain.

The August gold contract rose US$1.10 at US$1,420.40 an ounce and the September copper contract was up 3.25 cents at US$2.72 a pound.