TSX falls as oil price slump hits energy and other stocks
By Fergal Smith
TORONTO (Reuters) - Canada's main stock index fell on Wednesday as the slide in crude oil prices hit energy stocks and weighed on other shares, but volume was light ahead of the New Year's Day holiday on Friday.
Crude oil prices tumbled following a surprise build in U.S. stockpiles. U.S. crude CLc1 prices settled at $36.60 a barrel, down 3.4 percent. [O/R]
"Oil is down over a dollar and that has put all the stocks down," said John Kinsey, portfolio manager at Caldwell Securities.
Enbridge Inc (ENB.TO: Quote) fell 1.1 percent to C$45.58. The company said on Tuesday it has halted operations on its Ozark pipeline due to flooding along the Mississippi River.
The overall energy group fell 2.5 percent.
The slide in crude oil prices has also been a headwind for bank stocks amid concerns about possible writedowns on energy loans.
"I think people are still worried about the energy loans that the banks have on their books," said Kinsey. Continued...