CANADA STOCKS-TSX slips to 7-week low on cooling oil, earnings

Wed May 4, 2011 4:58pm EDT
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   * TSX down 81.05 points, or 0.59 percent at 13,611.32
 * Lowest close since March 16
 * Energy off 1.49 percent on lower crude prices
 By Solarina Ho
 TORONTO, May 4 (Reuters) - Toronto's main stock index
sagged to its lowest close in seven weeks on Wednesday,
following a broad sell-off in oil and mining resources as
commodity prices fell sharply.
 The energy group led with a 1.49 percent retreat. Talisman
Energy TLM.TO, which reported a quarterly loss, was the
biggest drag on the index, falling 5.88 percent to C$21.11.
 Not far behind was Canadian Natural Resources (CNQ.TO: Quote),
which gave back 1.99 percent to finish at C$42.34 and Imperial
Oil (IMO.TO: Quote), which was off 1.36 percent at C$47.70.
 U.S. crude sank below $110 a barrel to its lowest level in
two weeks following a larger-than-forecast increase in crude
stockpiles. [O/R]
 "The resources have been a powerful influence on the upside
and what we're seeing is that they're also a powerful influence
on the downside," said John Ing, president of Maison Placements
 The overall materials group, home to mining firms, was off
0.13 percent. Diversified miner Teck Resources TCKb.TO was
down 1.68 percent at C$49.62.
 Copper suffered its biggest one-day loss since early March
amid worries over China tightening its monetary policy, slowing
U.S. growth and the negative economic impact of high energy
prices. [MET/L]
 The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE finished the session down 81.05 points, or 0.59
percent at 13,611.32. This added to Tuesday's 1.74 percent drop
and marked the index's lowest close since March 16.
 Six of the 10 main groups were in the red.
 The hefty financial sector, which makes up 29 percent of
the index, was down 0.6 percent. Royal Bank of Canada (RY.TO: Quote)
was another key drag on the index, falling 1.19 percent to
C$58.23, while Bank of Nova Scotia (BNS.TO: Quote) slid 1.05 percent
to C$57.73.
 Offsetting some of the declines was a late day rebound in
among gold miners. The sub-index was up 0.61 percent, led by a
4.86 percent jump in Kinross Gold (K.TO: Quote) shares, to C$14.88.
The company reported a higher quarterly profit after the market
closed on Tuesday. [ID:nN04194058]
 Other gold miners eked out smaller gains, despite earlier
declines. Gold prices were weighed down by a sharp slide in
silver prices. Sentiment among precious metals investors also
took a hit after a report said high-profile investor George
Soros, who was bullish on gold and a top gold funds investor,
has been selling gold and silver in the past month or so.
 ($1=$0.96 Canadian)
 (Editing by Jeffrey Hodgson)