CANADA STOCKS-TSX ends lower on weaker commodities

Mon Oct 4, 2010 5:55pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

   * TSX down 0.32 percent at 12,322.94
 * Seven of 10 main sectors finish lower
 (Updates with details, quotes)
 By Solarina Ho
 TORONTO, Oct 4 (Reuters) - Toronto's main stock index
closed lower on Monday as mining shares fell on weaker metal
prices, pulling the TSX back from two-year highs hit last
 The heavyweight materials sector, home to mining stocks,
was the biggest loser, sinking 1 percent. Barrick Gold ABX.TO
fell 1.8 percent to C$47.09 and Iamgold IMG.TO retreated 1.7
percent to C$17.66.
 Gold prices, which were at record highs last week, slipped
as U.S. housing data and euro zone worries bolstered the U.S.
dollar. [ID:nLDE6930OT] [GOL/] [FRX]
 "I just think that we're backing and filling on the
stocks," said John Ing, president of Toronto investment dealer
Maison Placements, noting golds as a group hit a record high
last week.
 Also in the materials sector, Teck Resources TCKb.TO
dropped 2.3 percent to C$42.34 as copper prices eased from
two-year highs due to the firmer greenback. [MET/L]
 One bright spot in mining was Potash Corp POT.TO. Shares
of the fertilizer producer climbed 1.9 percent to C$147.50
after an independent report said BHP Billiton's $39 hostile bid
for the company would be preferable to a Chinese takeover
offer. [ID:nN04279177]
 The energy sector, another index heavyweight, was down 0.6
percent, as oil prices slipped in part due to the stronger
greenback. U.S. crude for November delivery CLc1 settled at
$81.47 a barrel.
 Encana Corp ECA.TO was down 1.5 percent at C$30.38, while
Suncor Energy SU.TO eased 0.9 percent to C$33.63.
 The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE closed down 40.14 points, or 0.32 percent, at
12,322.94. Seven of the index's 10 main groups ended lower.
 "I think you have some profit-taking going on in the market
in general ... We had one of the stronger Septembers in the
last few years and Octobers can be a little choppy," said Bruce
Latimer, a trader at Dundee Securities, noting that weakness
was spread across the board.
 The Toronto index moved in tandem with Wall Street, as
middling economic data and worries about euro zone debt served
as catalysts for taking profits. [.N]
 In individual company news, MI Developments MIMa.TO was
the top net gainer, jumping 32.4 percent to C$14.43 after it
confirmed that a company controlled by billionaire Magna
International MG.TO founder Frank Stronach plans to make a
bid for the real estate firm. [ID:nN04108400]
 Research In Motion RIM.TO shares were down 2.1 percent at
C$50.12, dragged lower by a weak U.S. technology sector.
 "A rising tide raises all boats and a lowering tide takes
them all out a bit too," said Latimer.
 "Here we are, the first days into a quarter and I think
people are keeping their powder dry."
 ($1=$1.02 Canadian)
 (Additional reporting by Cameron French; editing by Rob