CANADA STOCKS-TSX sags on U.S. jobs data, growth outlook

Fri Jun 4, 2010 10:20am EDT
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   * TSX falls 120.11 points, or 1.02 pct, to 11,691.76
 * Energy, materials lead retreat
 * Canada jobs data cheers, U.S. report disappoints
 (Adds details, quotes)
 By Jennifer Kwan
 TORONTO, June 4 (Reuters) - Toronto's main stock index sank
on Friday morning as commodity prices were pulled lower by
weaker than forecast U.S. employment numbers and fresh concerns
about European and global growth.
 The soft U.S. jobs report added to worries about European
banks and talk of a "Greek-style" debt crisis in Hungary,
pushing global stocks lower and dragging the euro to a
four-year low against the U.S. dollar. [MKTS/GLOB]
 Energy and materials issues led the decline on the TSX as
oil and metal prices skidded. [O/R] [MET/L]
 Teck Resources TCKb.TO was down 2.1 percent at C$34.38
and Suncor Energy SU.TO dropped 0.8 percent at C$33.01.
 Royal Bank of Canada RY.TO sank 1.1 percent to C$54.17,
while Toronto-Dominion Bank TD.TO fell 0.7 percent to
 "The non-farms (U.S. jobs data) came out lighter than
expected," said Paul Gardner, partner and portfolio manager at
Avenue Investment Management.
 "The market wants to see quick job growth, but what we're
seeing is just steady improvement in the job picture in the
U.S.," Gardner said.
 U.S. private employers hired fewer workers than expected in
May, a setback for the labor market recovery, even as temporary
census hiring pushed overall payrolls growth to its fastest
pace in 10 years. [ID:nN03243431]
 At 10:04 a.m. (1404 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was down 120.11 points, or
1.02 percent, at 11,691.76, with all 10 of its main groups
 Global growth concerns overshadowed a domestic employment
report that showed Canada added a hearty 24,700 jobs in May,
almost double the expected number, as the economy posted its
fifth consecutive monthly jobs gain. The unemployment rate
remained at 8.1 percent, matching market forecasts.
 "The Canadian numbers are just fantastic," said Gardner.
 The domestic data helped the Canadian dollar briefly firm
to a session high of C$1.0352 to the U.S. dollar, or 96.60 U.S.
cents, but the currency quickly succumbed to global pressures,
retreating to a session low of C$1.0507 to the U.S. dollar, or
95.17 U.S. cents. [CAD/]
 ($1=$1.05 Canadian)
 (Reporting by Jennifer Kwan; editing by Rob Wilson)