TSX slides as Greek worries nag, retail sales disappoint
By Alastair Sharp
TORONTO (Reuters) - Canada's main stock index fell to its lowest close since mid-January on Friday as disappointing domestic retail sales data added to the market's anxiety over the Greek debt crisis.
With crude and base metals prices slumping, the index's heavily weighted energy and materials sectors led a broad decline, with Canada's big banks and Valeant Pharmaceuticals (VRX.TO: Quote) also down.
Subodh Kumar, chief investment strategist at Subodh Kumar & Associates, said crude prices likely will not rise much as the war for market share between the OPEC producers group and the U.S. fracking industry continues.
He said the oil industry is likely to suffer through a shakeout similar to the one that has already hit gold miners, and that golds may now be a better bet. "The oil industry is in the throes of restructuring that happened later than gold," Kumar said.
The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE dropped 117.52 points, or 0.80 percent, on Friday to end at 14,653.12. It fell 0.6 percent on the week.
Energy stocks slid 1.3 percent, with Canadian Natural Resources (CNQ.TO: Quote) down 2 percent at C$34.50.
Gold prices were near a three-week high, but gold miners didn't benefit. Goldcorp Inc (G.TO: Quote) fell 2.9 percent to C$20.12 and Barrick Gold Corp (ABX.TO: Quote) was off 1.6 percent at C$14.08. [O/R] The broader materials sector fell 2 percent.
After two months of gains, retail sales slipped 0.1 percent in April from March as consumers spent less on food and electronics. Economists had expected a 0.7 percent rise. Continued...