The Toronto stock market closed little changed Monday while major U.S. exchanges in New York City cancelled trading for the day as hurricane Sandy lurched toward the Eastern Seaboard.
And as the monster hurricane moved toward the New Jersey shore Monday night, officials announced the NYSE would be closed Tuesday as well.
The S&P/TSX composite index rose 12.45 points to 12,312.75, while the TSX Venture Exchange declined 9.41 points to 1,291.43.
"In many ways, we do take our cues from the U.S. market, so certainly it being closed caused Toronto to be somewhat directionless today," said John Stephenson, portfolio manager at First Asset Funds.
The New York Stock Exchange and Nasdaq said they intend to reopen on Wednesday and will keep investors updated.
U.S. bond trading will also be closed Tuesday. The Securities Industry and Financial Markets Association called for an early close to bond trading Monday, at 12 noon EDT.
Meanwhile, the Canadian dollar closed below parity with the U.S. currency for the first time since early August.
The loonie was down US0.28¢ to US 99.92¢.
The commodity-sensitive Canadian dollar has lost value lately amid growing pessimism about the global economic outlook, which has contributed to falling prices for oil and copper.
The operator of the New York Stock Exchange, NYSE Euronext, originally announced late Sunday afternoon trading could carry on through its electronic trading backup even though floor trading would be cancelled due to the storm.
But it said Monday morning that "the dangerous conditions developing as a result of hurricane Sandy will make it extremely difficult to ensure the safety of our people and communities."
The Toronto stock market was already in for a lacklustre showing this week as disappointments over the quarterly earnings season pile up and traders exercise caution ahead of an American election too close to call.
"In general, people are looking at Europe as an unresolved mess and no end in sight to that problem. China is weak and of course there is all the uncertainty about the U.S. fiscal cliff and the U.S. election. All of that is weighing on sentiment and there is an absence of positive news," added Stephenson.
The base metals sector led decliners, down 1% while December copper lost 6¢ to US$3.49 a pound. Teck Resources shed 26¢ to $30.78 while First Quantum Minerals fell 38¢ to $22.15.
