TSX miners push index lower on weaker commodities

Mon Aug 13, 2012 5:07pm EDT
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By Alastair Sharp

TORONTO (Reuters) - Canada's main equity index fell on Monday after weak Japanese data added to evidence of a slowing global economy, with mining and energy stocks leading the decline as commodity prices fell.

Canada's market mirrored falls in European and U.S. markets as concern over slowing growth offset hopes that major central banks will move to stimulate growth.

Miners and energy companies lead the Toronto index lower.

"The pressure on Canada stems mostly from commodities being weaker," said Levente Mady, a market strategist at Union Securities in Vancouver.

Copper fell for a fourth straight session and gold was also lower as persistent concerns about the faltering health of the global economy drove losses across the broader industrial metals' complex.

Copper, used in industrial construction, has been hit by mounting fears of deteriorating economic outlooks in top metals consumer China, the euro zone and the United States.

Major Canadian copper producer Teck Resources Ltd TCKb.TO was down 2.5 percent to C$29.58 and Barrick Gold Corp (ABX.TO: Quote) -- which gets one-fifth of its revenue from copper -- fell 1 percent to C$33.96.

Canada's resource-focused companies -- which make up a major chunk of the overall index -- have been slow to recover from dips in the price of commodities this year.   Continued...

A sign shows TSX information in Toronto September 15, 2008. REUTERS/Mark Blinch (CANADA)