Canada's main stock index faced a decline on Wednesday, closely following the trends of Wall Street peers. This movement was influenced by various factors, with cautious investors awaiting the quarterly earnings of leading chipmaker Nvidia (NASDAQ:NVDA). The S&P/TSX composite index dropped by 76.06 points, or 0.3%, settling at 24,934.71. Nvidia, the world's most valuable company, is set to report its third-quarter earnings after the market close. The options market anticipates a significant swing of nearly $300 billion in the AI-darling's market value based on its results.
Impact of Geopolitical Tensions
The escalating geopolitical tensions between Russia and Ukraine also had an impact on investor sentiment. The United States closed its embassy in Kyiv due to "specific information of a potential significant air attack." This added to the uncertainty in the market and affected investor confidence. On the TSX, at least nine sectors experienced losses, with the consumer discretionary sector leading the way, slipping 0.9%. The Canadian 10-year benchmark yield rose by as much as five basis points, mirroring its U.S. counterpart. This weighed on the rate-sensitive real estate sector, which fell 0.8%.READ MORE