TSX Ends Modestly Lower

(RTTNews) - The Canadian market ended weak on Tuesday after data showed a bigger than expected increase in the nation's consumer price inflation in the month of May.

Consumer discretionary, communications, healthcare and materials shares were among the notable losers. Technology and consumer staples shares found good support.

The benchmark S&P/TSX Composite Index, which dropped to a low of 21,704.74 intraday, ended the session with a loss of 60.11 points or 0.28% at 21,788.48.

Data from Statistics Canada showed the nation's annual inflation rose to 2.9% in May from the three-year low of 2.7% in the earlier month. The consumer price inflation was expected to rise 2.6% in the month. Month-over-month, the consumer price index increased 0.6% in May, after a 0.5% rise in April.

Canada's annual core inflation rate accelerated to 1.8% in May from April's three-year low of 1.6%. The core inflation rate in Canada rose 0.6% from a month earlier in May, following a 0.2% increase in April.

A separate data from Statistics Canada showed Canada's manufacturing sales likely rose 0.2% from a month earlier in May, according to preliminary estimates. Manufacturing sales rose 1.1% in April.

Quebecor Inc (QBR.TO), BRP Inc (DOO.TO), Tecsys (TCS.TO), Onex Corporation (ONEX.TO), Badger Infrastructure (BDGI.TO), Cogeco Communications (CCA.TO), Magna International (MG.TO) and Dollarama Inc (DOL.TO) lost 2 to 4%.

Methanex Corporation (MX.TO), Morguard Corporation (MRC.TO), Agnico Eagle Mines (AEM.TO) and Restaurant Brands International (QSR.TO) also ended notably lower.

Among the gainers, Hut 8 Corp (HUT.TO) soared nearly 17%. The company announced that it will secure $150 million in funding through convertible notes from Coatue Management. The funds will be used to develop an artificial intelligence infrastructure platform, Hut 8 said.

Celestica Inc (CLS.TO) and Docebo Inc (DCBO.TO) ended higher by 4.6% and 3.4%, respectively. Goeasy (GSY.TO), CGI Inc (GIB.A.TO), Premium Brands International (PBH.TO), National Bank of Canada (NA.TO) and Thomson Reuters (TRI.TO) gained 1.5 to 2.3%.