CANADA STOCKS-TSX drops as Fed anxiety bites

Wed Aug 21, 2013 11:13am EDT
 
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* TSX falls 63.12 points, or 0.50 percent, to 12,606.97
    * All 10 of the main index sectors decline
    * Gold-mining stocks lose 2 percent as bullion eases
    * Sears Canada down after reporting drop in revenue

    By John Tilak
    TORONTO, Aug 21 (Reuters) - Canada's main stock index
dropped on Wednesday as investors braced for a U.S. Federal
Reserve report that the market will parse for clues on when the
central bank might start unwinding its stimulus measures.
    Gold-mining shares fell with bullion prices and showed the
sharpest decline on the resource-heavy index. Every major sector
on the index was trading in the red.
    The market brushed aside figures showing U.S. home resales
climbed in July to their highest level in over three years
, with focus squarely on the release at 2 p.m.
EDT (1800 GMT) of the minutes of the Fed's last policy meeting.
Investors will look for details about the timing and pace of any
 Fed pullback from its stimulus program.
    "The mood is cautious," said Fred Ketchen, director of
equity trading at ScotiaMcLeod. "People are looking for reasons
as to why they need to put their investable funds to work, but
there's nothing definitive."
     The Toronto Stock Exchange's S&P/TSX composite index
 was down 63.12 points, or 0.50 percent, at 12,606.97. 
    Financials, the index's most heavily weighted sector,
slipped 0.2 percent. Royal Bank of Canada, the country's
biggest lender, gave back 0.3 percent to C$64.50; Bank of Nova
Scotia was down 0.3 percent at C$58.20.
    The materials sector, which includes mining stocks, lost 1.5
percent, with gold producers falling almost 2 percent.
    Goldcorp Inc fell 2 percent to C$32.24, and Barrick
Gold Corp stumbled 1.6 percent to C$20.27.
    In company news, Sears Canada Inc reported a
decline in quarterly revenue and said it plans to cut 245 jobs.
The stock fell 0.7 percent to C$12.19.