4 August 2011
“Today the market seems to be insane, and everybody’s selling in panic,” – said Barry Schwartz, portfolio manager at Baskin Financial Services. “We hope, tomorrow the job reports will stabilize the market”.
At 11:52 a.m. the Toronto Stock Exchange’s S&P/TSX composite index was down by 450.19 points or 3.51%. Nevertheless, the afternoon brought some rebound.
All 10 TSX’s main groups were also lower, especially, in case of energy and financial sectors.
The energy group was down by 3.8%, partially, because of recent worries about weak demand amid the U.S. and European debt crises.
The financial sector lost 2% even despite great earnings reports by some of Canada’s big insurers.
Some analytics suggest that even positive earnings can’t compensate such losses. In their opinion, people have a very negative view on today’s situation, so they are running to the sidelines.