TSX steady as resource-share dip offsets U.S. jobs data
By John Tilak
TORONTO (Reuters) - Canada's main stock index was little changed on Thursday as optimism spurred by a bullish U.S. jobs report was balanced by declines in natural resource shares on lower commodity prices.
Government figures showed a jump in U.S. employment growth in June and a drop in the unemployment rate, suggesting the world’s biggest economy was on its way to overcoming a winter slowdown.
“The U.S. employment situation is very strong. It’s very encouraging," said Marcus Xu, portfolio manager at MY Capital Management Corp in Vancouver. “It's a lively economic environment in the United States at the moment."
The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE closed down 2.68 points, or 0.02 percent, at 15,207.11. It rose as high as 15,256.36, a record, earlier in the session.
The TSX is likely to have a strong second half, Xu said. “Commodities are making a bit of a comeback.”
Six of the 10 main sectors on the index were in the red on Thursday.
Financials, the index's most heavily weighted sector, climbed 0.3 percent. Royal Bank of Canada (RY.TO: Quote) added 0.1 percent to C$77.11, and Bank of Nova Scotia (BNS.TO: Quote) gained 0.5 percent to C$71.66.
The energy sector was down 0.2 percent on lower oil prices, with Suncor Energy Inc (SU.TO: Quote) falling 0.9 percent to C$45.53 and Encana Corp (ECA.TO: Quote) shedding 1.1 percent to C$24.58. Continued...