CANADA STOCKS-TSX extends slide as resources, financials weigh

Tue Jun 7, 2011 5:54pm EDT
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   * TSX down 35.74 points, or 0.27 percent at 13,282.92
 * Five of 10 main groups lower, telecoms flat
 * Ends down for sixth session in row
 (Updates with details, comments)
 By Solarina Ho
 TORONTO, June 7 (Reuters) - Toronto's main stock index
finished lower on Tuesday, as resource and financial issues
helped extend the market's slide for a sixth straight session.
 The materials sector was down 0.84 percent with Sino-Forest
TRE.TO the group's biggest decliner. The beleaguered company
saw its shares plunge another 34.26 percent to C$4.01 as the
Chinese timber plantation operator continued to fight
allegations that its finances are a fraud. [ID:nL3E7H71M3]
 Miner Goldcorp G.TO was off 1.24 percent at C$46.82 while
Barrick Gold ABX.TO slipped 0.87 percent to C$44.24. The
overall gold subgroup was down 0.7 percent, with precious metal
prices little changed on Tuesday as fewer investors flew to the
safe-haven investment. [GOL/]
 The financial sector, which along with the materials group
helps make up more than 50 percent of the index, was down 0.47
percent. Toronto-Dominion Bank TD.TO was the second biggest
drag on the TSX, falling 0.76 percent to C$79.60.
 "We're just following global markets, with the U.S. setting
the tone. We opened a little stronger and then we see-sawed
back and forth before fading away into the close," said Levente
Mady, market strategist at Union Securities in Vancouver.
 "Certainly it seems like the commodities-related sectors
are taking a bit of a breather along with the financials."
 The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE closed down 35.74 points, or 0.27 percent at
13,282.92, its sixth lower close in a row. The TSX is down
about 1.2 percent for the year.
 Five of the index's 10 main sectors were lower, while
telecoms ended the session flat.
 Tech issues slumped 1.03 percent, pressured by Research In
Motion RIM.TO, which slid 3.12 percent to C$36.92 making it
the biggest negative weight on the index.
 Analysts have cut their price targets in recent days as the
BlackBerry maker remains under intense pressure from Apple's
AAPL.O iPhone and smartphones running Google's GOOG.O
Android operating system.
 The TSX could not sustain session rebounds and gyrated
between positive and negative territory throughout the day.
 A string of disappointing U.S. economic data in recent
weeks has sparked further concerns about the spillover effect
from Canada's biggest trading partner and tempered investor
 Sentiment was further dampened after Federal Reserve
Chairman Ben Bernanke acknowledged a slowdown in the U.S.
economy, though he did not suggest further monetary stimulus to
spark growth. [ID:nN07142566]
 "I'm looking for a little bit of a bounce for the next
couple of days before we see more selling pressure. I was
hoping we'd get more of a bounce today, but it didn't happen,"
said Mady.
 Energy stocks were among the few solid gainers, rising 0.33
percent. Talisman Energy TLM.TO rose 2.53 percent to finish
at C$19.47. Energy issues tracked oil prices, which rose on a
weaker U.S. dollar and geopolitical conflict in the Middle
East. [O/R]
 In corporate news, Saputo Inc SAP.TO slid 1.29 percent to
C$46.50. The dairy company posted higher quarterly profits, but
a highly competitive market in Canada and an investment
writedown partially offset better results from the U.S. market.
 ($1=$0.97 Canadian)
 (Editing by Rob Wilson)