Canada’s main stock index joined equities around the globe in a major tumble on news of a higher-than-anticipated increase in the price of consumer goods.
The Labor Department’s report showed U.S. consumer price index rose sharply from 0.3 per cent in April to 1 per cent in May.
On an annual basis it increased at a major 8.6 per cent as gasoline prices hit a record high and the cost of services continued to rise.
The inflation blow-up dashed hopes that inflation would be peaking and instead ignited concerns about more aggressive steps by the Federal Reserve to tame it.
Energy companies were some of the biggest losers, with the likes of Baytex Energy Stock, Athabasca Oil, and Cenovus losing around 2 per cent each.
Today in the Markets
| TSX | 20,274.82 | -289.07 |
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| TSXV | 704.70 | -7.18 |
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| CSE | 314.52 | +3.45 |
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| DJIA | 31,392.79 | -880.00 |
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| NASDAQ | 11,340.02 | -414.20 |
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| S&P 500 | 3,900.86 | -116.96 |
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The Canadian dollar traded for 78.35 cents US compared to 78.77 cents US on Thursday.
US crude futures traded 0.81 per cent lower at $120.50 a barrel, while the Brent contract lost 0.93 per cent to $121.90 a barrel.
The price of gold was up $25.60 US to $1,872.72.
In world markets, the Nikkei was down 422.24 points to 27,824.29 the Hang Seng was down 62.87 points to 21,806.18 the FTSE was down 158.69 points to 7,317.52, and the DAX was down 436.97 points to 13,761.83.
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