TSX retreats on slide in resource stocks
By Fergal Smith
TORONTO (Reuters) - Canada's main stock index closed lower on Friday, driven by weakness in resource shares after a plunge in China equities weighed on commodity prices.
Trading was thin, with Wall Street closing early following Thursday's holiday.
"It's commodities again, generally, that are hurting the Toronto market and they will continue to do so until their prices bottom," said Norman Levine, managing director at Portfolio Management Corp.
The energy sector fell 1.4 percent, pressured by a 3 percent tumble in U.S. crude oil prices.
The materials group dropped 2.1 percent, including weakness in gold stocks as a firm U.S. dollar and a potential Federal Reserve rate hike next month caused gold to drop to a near six-year low.
Loblaw Companies Ltd (L.TO: Quote) fell 2.6 percent to C$67.52, exposed through its subsidiary, Shoppers Drug Mart Corporation, to a Quebec government proposal that may lower the prices of generic drugs, according to Levine. Continued...