Skip to main content
The Globe and Mail
Support Quality Journalism
The Globe and Mail
First Access to Latest
Investment News
Collection of curated
e-books and guides
Inform your decisions via
Globe Investor Tools
Just$1.99
per week
for first 24 weeks

Enjoy unlimited digital access
Enjoy Unlimited Digital Access
Get full access to globeandmail.com
Just $1.99 per week for the first 24 weeks
Just $1.99 per week for the first 24 weeks
var select={root:".js-sub-pencil",control:".js-sub-pencil-control",open:"o-sub-pencil--open",closed:"o-sub-pencil--closed"},dom={},allowExpand=!0;function pencilInit(o){var e=arguments.length>1&&void 0!==arguments[1]&&arguments[1];select.root=o,dom.root=document.querySelector(select.root),dom.root&&(dom.control=document.querySelector(select.control),dom.control.addEventListener("click",onToggleClicked),setPanelState(e),window.addEventListener("scroll",onWindowScroll),dom.root.removeAttribute("hidden"))}function isPanelOpen(){return dom.root.classList.contains(select.open)}function setPanelState(o){dom.root.classList[o?"add":"remove"](select.open),dom.root.classList[o?"remove":"add"](select.closed),dom.control.setAttribute("aria-expanded",o)}function onToggleClicked(){var l=!isPanelOpen();setPanelState(l)}function onWindowScroll(){window.requestAnimationFrame(function() {var l=isPanelOpen(),n=0===(document.body.scrollTop||document.documentElement.scrollTop);n||l||!allowExpand?n&&l&&(allowExpand=!0,setPanelState(!1)):(allowExpand=!1,setPanelState(!0))});}pencilInit(".js-sub-pencil",!1); // via darwin-bg var slideIndex = 0; carousel(); function carousel() { var i; var x = document.getElementsByClassName("subs_valueprop"); for (i = 0; i < x.length; i++) { x[i].style.display = "none"; } slideIndex++; if (slideIndex> x.length) { slideIndex = 1; } x[slideIndex - 1].style.display = "block"; setTimeout(carousel, 2500); }

The S&P 500, Nasdaq and S&P/TSX Composite indexes inched to record closing highs on Tuesday as Chinese officials said the deadly coronavirus epidemic could be contained by April.

But the Dow closed flat, and the S&P 500 and the Nasdaq pared their gains after the Federal Trade Commission (FTC) issued orders to large tech companies to provide information on mergers that were too small to report to antitrust regulators.

Microsoft Corp was the biggest drag on all three major U.S. stock indexes following FTC’s demand for data from company. Data was also requested from Alphabet Inc, Amazon.com, Apple Inc and Facebook Inc.

Story continues below advertisement

The World Health Organization, or WHO, called the Chinese coronavirus “public enemy number one.” But China’s foremost medical adviser on the outbreak said the crisis could be over by April, soothing jitters over the fast-moving epidemic, even as supply chains ruptured and Chinese firms began laying off workers.

“As much as there’s a desire to push stock higher there’s also an exhaustion,” Oliver Pursche, vice chairman and chief market strategist at Bruderman Asset Management in New York. “It’s letting the air out and exhaling.”

“The best thing that could happen for stocks this year is that we go sideways for a while and let markets catch their breath.”

Market participants watched closely as U.S. Federal Reserve Chair Jerome Powell began his semiannual economic update before congress.

Powell’s remarks reiterated his view that the economy, in its 11th year of expansion, remains “resilient,” but that the central bank was closely monitoring potential risks, including the coronavirus.

“Powell addressed the coronavirus and acknowledged that it might be a catalyst for the Fed to take action if warranted,” Pursche added. “It means the Fed is keenly aware of the risks but it also means that the risks are very real.”

The Dow Jones Industrial Average was flat, the S&P 500 gained 5.66 points, or 0.17%, to 3,357.75 and the Nasdaq Composite added 10.55 points, or 0.11%, to 9,638.94.

Story continues below advertisement

Of the 11 major sectors in the S&P 500, all but communications services, consumer staples and technology closed in positive territory, with real estate showing the largest percentage gain.

T-Mobile shares jumped 11.8% after a federal judge approved its purchase of Sprint, clearing the path for a deal originally valued at $26 billion.

Sprint surged 77.5%, while larger rival Verizon Communications Inc slid 2.6%.

Cell tower operators, including SBA Communications Corp , American Tower Corp and Crown Castle International Corp, gained between 4% and 7% on expectations that the deal could increase tower demand.

Under Armour Inc tumbled 16.7% after the sportswear company forecast a surprise drop in 2020 profit.

In Toronto, the S&P/TSX composite index closed unofficially up 36.54 points, or 0.21 per cent, at 17,777.11.

Story continues below advertisement

The energy sector climbed 0.1 per cent as oil prices recovered from 13-month lows.

Material stocks rose 0.7 per cent, while the financials sector gained 0.3 per cent.

Leading the index were OceanaGold Corp., up 5.7 per cent, Osisko Gold Royalties Ltd., up 5.1 per cent, and Canada Goose Holdings Inc., higher by 4.9 per cent.

Lagging shares were Bombardier Inc., down 5.3 per cent, Ballard Power Systems Inc., down 3.1 per cent, and TMX Group Ltd., lower by 2.8 per cent.

Reuters

Report an error Editorial code of conduct
Due to technical reasons, we have temporarily removed commenting from our articles. We hope to have this fixed soon. Thank you for your patience. If you are looking to give feedback on our new site, please send it along to feedback@globeandmail.com. If you want to write a letter to the editor, please forward to letters@globeandmail.com.

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way. Click here to subscribe.

If you would like to write a letter to the editor, please forward it to letters@globeandmail.com. Readers can also interact with The Globe on Facebook and Twitter .

Welcome to The Globe and Mail’s comment community. This is a space where subscribers can engage with each other and Globe staff.

We aim to create a safe and valuable space for discussion and debate. That means:

  • Treat others as you wish to be treated
  • Criticize ideas, not people
  • Stay on topic
  • Avoid the use of toxic and offensive language
  • Flag bad behaviour

Comments that violate our community guidelines will be removed.

Read our community guidelines here

Discussion loading ...

To view this site properly, enable cookies in your browser. Read our privacy policy to learn more.
How to enable cookies