CANADA STOCKS-TSX falls, weighed by Aimia stock, Moody's downgrade on banks

Thu May 11, 2017 11:23am EDT
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* TSX down 42.13 points, or 0.27 percent, to 15,591.08

* Five of the TSX's 10 main groups were down

TORONTO May 11 (Reuters) - Canada's main stock index fell on Thursday, as a Moody’s downgrade of major Canadian banks struck financial stocks, and frequent-flyer points operator Aimia Inc plunged on news its program would be dropped by the country’s largest airline.

Financial stocks fell 0.8 percent, at one point trading at their lowest level in five months, after Moody's Investor Service cut the long-term ratings for Canada's six biggest banks, citing a more challenging operating environment.

Canadian Imperial Bank of Commerce fell 1.4 percent to C$107.25, while National Bank of Canada declined 1.3 percent to C$53.44.

Canada's largest pipeline company, Enbridge Inc, was by far the most influential mover on the downside, however, sliding 2.1 percent to C$54.75 after it reported a lower-than-expected quarterly profit. The stock tempered gains by the overall energy group, which climbed 0.3 percent.

At 10:21 a.m. ET (1421 GMT), the Toronto Stock Exchange's S&P/TSX composite index fell 42.13 points, or 0.27 percent, to 15,591.08.

Half of the index's 10 main sectors lost ground.

Shares in Air Canada, the country's dominant carrier, jumped 6.4 percent to C$15.84 after announcing it would start its own frequent-flyer program to replace Aeroplan, operated by Aimia.   Continued...