CANADA STOCKS-TSX lower on global worries, gold miners up

Thu Aug 23, 2012 10:51am EDT
 
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* TSX down 22.50 points, or 0.2 percent, at 12,096.49
    * Worries over Europe, China push Canada market down
    * Gold miners keep rising

    By Alastair Sharp
    TORONTO, Aug 23 (Reuters) - Canada's main equity index
slipped on Thursday as investors fretted over troubles in Europe
and slowing growth in China, but gold miners limited the damage
as they continue to climb out of a trough.  
    Heavyweight banking and energy companies pulled the index
into the red, despite the strong showing from bullion producers
which have been among the Toronto exchange's worst performers
this year.
    "It's a good environment for gold, particularly if you are
negative on what is going to happen in September and October,"
said David Cockfield, managing director and portfolio manager at
Northland Wealth Management, referring specifically to a looming
decision about Greece's place in the European Union.
    "People really don't know what happens if Greece is pushed
out the door. We've got to get past this hurdle."
    The majority of the exchange's sectors were trading lower,
led by heavyweight energy and financial stocks. Fertilizer
company Potash Corp dipped 2.3 percent to C$41.26 and
Suncor Energy Inc slipped 1.4 percent to C$31.29.
    Meanwhile, Goldcorp Inc added 1.3 percent to C$40.49,
while smaller rival Centerra Gold Inc jumped 10.3
percent to C$8.38.
    The price of bullion was steady near 3-1/2 month highs.
 Toronto's gold mining sub-sector has gained 11 percent in
the past month, but 12 percent lower since the start of 2012.  
    At 10:28 a.m. (1428 GMT)The Toronto Stock Exchange's S&P/TSX
composite index was down 22.50 points, or 0.2 percent,
at 12,096.49.
    The commodity-rich Canadian market is sensitive to signs of
slowing growth in China, whose manufacturing sector contracted
at its sharpest pace in nine months in August, according to a
survey showing falling export orders and rising inventories.
 
    The data was seen as a signal that more policy stimulus may
be needed to engineer a second half pick-up in growth.