Energy shares pull TSX lower; BlackBerry jumps

Thu Nov 13, 2014 5:20pm EST
 
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By John Tilak

TORONTO (Reuters) - Canada's benchmark stock index dropped on Thursday as sluggish economic data in China raised concerns about growth in the world's second-biggest economy and shares of energy producers tumbled with oil prices.

But BlackBerry Ltd shot up 7.7 percent after the company entered into a partnership deal with Samsung Electronics Co Ltd.

Figures showed that China's factory growth fell in October and investment growth hit a near 13-year low.

Brent crude oil dropped to a four-year low, hit by the data from China, a top energy consumer, and news that Saudi Arabia was mum about a possible cut in production.

"Canada, being energy-heavy, is weighed by the fall in oil," said Marcus Xu, president and portfolio manager at M.Y. Capital Management Corp in Vancouver. "But if you are a long-term investor, it's not a bad idea to stay with energy stocks."

"I wouldn't say that sentiment for Canadian stocks is too good,” he added. "We're still in a bear market for energy prices, though the other parts of the index have been doing well."

The Toronto Stock Exchange's S&P/TSX composite index closed down 77.43 points, or 0.52 percent, at 14,778.77.

The benchmark TSX slipped after recording gains in each of the previous six sessions.   Continued...

 
A sign board displaying Toronto Stock Exchange (TSX) stock information is seen in Toronto June 23, 2014.   REUTERS/Mark Blinch