CANADA STOCKS-TSX pulled lower as Scotiabank shares unloaded

Tue Dec 8, 2009 11:16am EST
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 * TSX down 0.7 percent at 11,410.05
 * Bank of Nova Scotia shares drop 2.1 percent to C$27.59
 * Commodities prices also pressure market
 (Adds details and comments)
 By Irene Kuan
 TORONTO, Dec 8 (Reuters) - Toronto's main stock index was
lower on Tuesday morning as the market pulled down Bank of Nova
Scotia BNS.TO for missing expectations in its earnings
 Bank of Nova Scotia shares fell 2.1 percent to C$27.59.
Some other bank shares were also lower.
 Canada's No. 3 lender reported a surge in fourth quarter
profits but per-share profit of 83 Canadian cents fell short of
market expectations of 87 Canadian cents. [ID:nN07115511]
 Scotiabank is Canada's most international lender, with
strong retail operations in Latin America and the Caribbean and
a smaller, but growing presence in other developing markets.
 "There's higher risk in Bank of Nova Scotia, or more of a
chance of volatility just because the Latin American markets
have increased so well in the last six months," said Paul
Gardner, partner & portfolio manager at Avenue Investment
 "If they turn down, Bank of Nova Scotia is definitely.
subject to that, so I would think there could be some
vulnerability there."
   Other banks that weighed on the market were Royal Bank of
Canada RY.TO, which was down 1.12 percent at C$54.78.
Toronto-Dominion Bank TD.TO fell 0.89 percent to C$65.61.
 Commodities prices also pressured the resource-heavy index,
as gold and oil fell due to a stronger U.S. dollar.[O/R][GOL/]
 Canada's No. 1 gold miner Barrick Gold ABX.TO fell 2.44
percent at C$43.54, while Suncor Energy SU.TO was down 0.98
percent to C$36.40.
 At 10:25 (1525 GMT),the S&P/TSX composite index .GSPTSE
was down 79.58 points, or 0.7 percent, at 11,410.05.
 ($1=$1.05 Canadian)
 (Reporting by Irene Kuan; Editing by Peter Galloway)