The markets today

North American markets fell modestly Tuesday as trade uncertainty revved up between the U.S. and China ahead of an expected interest rate cut by the Federal Reserve. Markets dipped after U.S. President Donald Trump warned the Chinese not to wait out his first term in office to finalize a new trade deal. Trump’s comments came as U.S. negotiators resumed talks in Shanghai. The S&P/TSX composite index closed down 26.12 points at 16,466.05 despite gains by the energy and materials sectors. In New York, the Dow Jones industrial average was down 23.33 points at 27,198.02. The S&P 500 index was down 7.79 points at 3,013.18, while the Nasdaq composite was down 19.71 points at 8,273.61. Nine of the 11 major sectors of the TSX were lower, led by consumer discretionary and telecommunication sectors, along with the heavyweight financials sector. Energy gained 2.29 per cent as Encana Corp. rose 6.1 per cent, following by Baytex Energy Corp. and Crescent Point Energy Corp., on higher crude prices.

The September crude contract was up US$1.18 at US$58.05 per barrel and the September natural gas contract was up 3.1 cents at US$2.14 per mmBTU. Crude rose on expectations that Wednesday’s U.S. stockpile report will show sharp declines in inventories. Materials was also higher as in addition, gold prices rose on anticipation that the U.S. central bank would cut interest rates for the first time since 2008. The December gold contract was up $8.50 at US$1,441.80 an ounce and the September copper contract was down 3.9 cents at US$2.68 a pound.