TSX closes up 226 points in wild day after rate cuts
CBC News
October 8, 2008
Benchmark Toronto index still down 3,200 points since Labour Day
The Toronto stock market broke a five-day losing streak in a wild up-and-down session Wednesday as traders reacted to efforts by central banks to cut interest rates.
The S&P/TSX composite index, which had opened down 309 points, closed up 225.84 points, or 2.3 per cent, at 10,055.39.
The index, which fell below 10,000 on Monday for the first time since 2005, has lost about 3,200 points, or 23 per cent of its value, since Labour Day.
The day did not end happily in New York, where the Dow Jones industrial average closed down 189.01 points, or two per cent, at 9.258.10. It had been up more than 145 points mid-afternoon.
In the background was a co-ordinated move by central banks, including the Bank of Canada and the U.S. Federal Reserve, to cut short-term interest rates by half a percentage point in hopes of preventing a financial crisis from sending their economies into a deeper slump.
U.S. Treasury Secretary Henry Paulson called for patience, insisting that the Bush administration was moving ahead quickly to implement its $700-billion US bailout package. But he predicted that some banks will still fail despite the rescue package, saying that “the turmoil will not end quickly and significant challenges remain ahead.”
On the Toronto market, Halifax-based Clearwater Seafoods Income Fund saw its unit price drop $1.58 to $2.72 after the collapse of Iceland’s Glitnir Bank upset plans to take the fund private at $4.50 a unit. Glitnir was to have provided some of the financing.
Clearwater CEO Colin MacDonald said the bank’s problems came as a surprise.
“I think things have to sort themselves out,” he told CBC News. “There’s a lot of changes taking place, a lot of gyrations going on underneath the covers that we’re not aware of.”
Gold stocks, often seen as a haven in times of financial uncertainty, were leading the way in Toronto. Barrick Gold was up $6.38 to $40.05. Goldcorp was up about $5.77 to $34.60.
The precious metal itself was up $26.60 to $905 US an ounce in New York trading.
In Toronto, fertilizer giant PotashCorp was up $13.58 to $110.50 after being pounded last week when an analyst pulled a “buy” recommendation.
BlackBerry maker Research In Motion was up $3.26 to $64.19 after falling $40 in less than two weeks when its earnings failed to meet high expectations.
The price of oil was still drifting lower, a sign of fear that economic troubles will reduce demand. Light sweet crude for November delivery fetched $88.61 US a barrel, down from just over $90 Tuesday, in late New York trading.
The Canadian dollar – briefly worth more than $1.10 US last year – was trading at about 89 cents US, down from more than 90 cents on Tuesday.
Source | See Also: Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after markets hit by panic selling | Star column blames ‘Capitalism’ for market woes, offers false choice: Authoritarianism or Socialism | Bank of Canada greases financial system with $12B in new cash | Stock markets drop despite bailout | Why Paulson’s Plan is a Fraud | Representatives Were Threatened With Martial Law In America Over Bailout Bill | Congress Rejects (First) Bail-Out Plan | Congressman Ron Paul: Bailout Will Destroy Dollar, World Economy | Paul Martin calls for ‘global solution’ | Markets sink as woes spread | UK banking shares plunge as crisis deepens | Congressman Ron Paul Schools Fed Chairman Bernanke on the Bailout Plan | Bailout is “petty cash”, Inflation is the Federal Reserve’s real crime | Private Federal Reserve Makes Power Grab as Bush, McCain Urge Congress to Approve Plan | Last major investment banks in U.S. change status | U.S., British market regulators ban short-selling | Next Federal Reserve bank bailout round could cost taxpayers 1$ Trillion Dollars | Bank of Canada piles on in global inflationary swindle | Central banks continue inflating global economy | Central Banks Move to Transfer Wealth from Taxpayers to Banks | Crisis on Wall St. as firms collapse | Goldman-Sachs Alumni Hold Reins of Financial System | Frontrunners emerge in scramble to save another major bank | Lehman Brothers on Verge of Collapse, Wall Street Fears | US Treasury nationalizes Freddie Mae, Fannie Mac | Cities Debate Giving Away Public Infrastructure to Bankers | Court Grants Big Banks Immunity from Lawsuits over Derivatives Losses | Bush Calls for New Highway Tolls, More Private Funding of Roads | US mortgage firm bailout includes rider clause to expand police state: all credit card transactions now to be reported to IRS | Global ‘liberalization’ illusion under threat. Economist calls for world economic regime, Keynesian saviour. Irony? | Federal Reserve cites global stakes in Fannie and Freddie rescue | Financial ’super cop’ role for Fed | What Really Killed Bear Stearns? | Soros points out regulated markets fail to operate on market fundamentals, calls for more regulation | Competition study calls for lowered barriers to foreign ownership, bank mergers | Massive overhaul urged on foreign investment in airlines, media, and banks | Bilderberg Seeks Bank Centralization Agenda | Secretive Bilderberg Group Reverses Policy, Releases Press Release and Attendance List | Banks face “new world order,” consolidation: report
October 10th, 2008 at 2:24 am
[...] New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 11th, 2008 at 9:07 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 14th, 2008 at 4:34 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 15th, 2008 at 1:51 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 18th, 2008 at 9:34 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 18th, 2008 at 9:43 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 21st, 2008 at 12:36 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 23rd, 2008 at 11:54 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
October 31st, 2008 at 3:35 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
November 11th, 2008 at 1:41 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
November 12th, 2008 at 12:36 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
November 30th, 2008 at 8:10 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
December 5th, 2008 at 1:31 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
December 5th, 2008 at 4:40 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
December 16th, 2008 at 4:47 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
December 26th, 2008 at 8:00 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
December 28th, 2008 at 12:42 am
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
January 19th, 2009 at 3:44 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
January 27th, 2009 at 1:17 pm
[...] | New World Order: Global co-operation, nationalisation and state intervention – all in one day | TSX closes up 226 points in wild day after rate cuts | Federal Reserve Moves to Monetize Commercial Paper Debts | Stocks recoup some losses after [...]
January 28th, 2009 at 3:30 pm
[...] [...]
February 10th, 2009 at 9:10 am
[...] [...]
March 1st, 2009 at 2:05 am
[...] [...]
March 15th, 2009 at 10:03 am
[...] [...]
March 15th, 2009 at 11:09 am
[...] [...]
March 23rd, 2009 at 6:19 am
[...] [...]
March 24th, 2009 at 1:31 am
[...] [...]
June 13th, 2009 at 11:38 am
[...] [...]
November 1st, 2009 at 1:57 am
[...] [...]
November 3rd, 2009 at 1:33 am
[...] [...]
December 31st, 2009 at 1:58 pm
[...] [...]