CANADA STOCKS-TSX gets boost from resources, Gildan weighs

Thu Dec 11, 2008 12:11pm EST
 
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* Energy, materials higher as oil and gold climb

* BCE falls 3.4 pct as buyout collapses

* Gildan sinks 34 pct after results, '09 guidance (Adds quote, details)

By Jennifer Kwan

TORONTO, Dec 11 (Reuters) - Toronto's main stock index was little changed at midday on Thursday in choppy action as strength in commodity issues offset a slump in consumer goods shares on disappointing Gildan Activewear (GIL.TO: Quote) results and forecasts.

Undermining sentiment was the collapse of BCE Inc's (BCE.TO: Quote) leveraged buyout deal and uncertainty over the fate of the bailout of the U.S. auto industry.

BCE fell 3.4 percent to C$22.24 after the C$34.8 billion buyout on the buyout's collapse. [ID:nN11358392] The telecom sector was down 1.8 percent.

Gildan, a top net loser, fell 34 percent to C$11.73 after it posted sharply lower quarterly profit and provided a disappointing 2009 outlook. [ID:nBNG119073] The consumer discretionary group fell 3.7 percent.

"I think the Gildan numbers were a shock to people and the stock is off," said Paul Hand, managing director at RBC Capital Markets.   Continued...