CANADA STOCKS-TSX retreats on soft data, euro zone debt worries

Wed Jun 15, 2011 11:18am EDT
 
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 (Refiles to fix typo in headline)
 * TSX down 87.54 points, or 0.66 pct, at 13,010.28.
 * All 10 of the index main groups lower
 (Updates with details, comments)
 By Solarina Ho
 TORONTO, June 15 (Reuters) - Toronto's main stock index was
broadly lower on Wednesday as soft North American economic data
and euro zone debt worries dampened investor sentiment and
weighed on resource prices.
 Toronto-Dominion Bank (TD.TO: Quote) was down 1.41 percent at
C$78.46 and was the most influential decliner on the index. It
was followed by Suncor Energy (SU.TO: Quote), which slid 1.33 percent
to C$37.88. Royal Bank of Canada (RY.TO: Quote) rounded out the top
three decliners, retreating 1.01 percent to C$53.85.
 Overall, the economically sensitive financial group was
down 0.96 percent, tracking a global trend in U.S. and European
banking shares as anxiety over the Greek debt crisis and
disappointing U.S. data brought downward pressure. [MKTS/GLOB]
 Canadian banking shares slid in sympathy as Moody's
Investors Service said it may review the credit ratings of
French banks BNP Paribas, Credit Agricole and Societe Generale
for a possible downgrade, citing their holdings of Greek public
and private debt. [ID:nL3E7HF0A4]
 The energy sector was off 0.71 percent as a stronger U.S.
dollar fueled selling in oil.
 Together, the financial and energy groups make up roughly
50 percent of the index.
 At 10:28 a.m. (1424 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was down 87.54 points, or
0.66 percent, at 13,010.28. The retreat cut short Tuesday's
1.22 percent rally.
 All 10 of the index's main groups were in negative
territory.
 "The market's been in a decline on concerns about problems
in Europe and signs of a slowing economy domestically and in
North America," said Peter Chandler, senior vice-president and
director at Canaccord Wealth Management.
 "You have the market down five or six weeks in a row, down
10 or 12 days in a row -- you're bound to get a reflex rally,"
he said, referring to Tuesday's 158-point gain.
 Copper and oil prices eased on Wednesday, dragged lower by
a strong U.S. dollar and patchy U.S. data that fueled worries
the world's top economy could be heading toward a protracted
soft patch with rising inflation. [MET/L][O/R]
 U.S. core consumer inflation for May saw the largest
increase in nearly three years, lifted by steep rises in motor
vehicle and apparel prices [nN15274697]
 The mining-heavy materials group was down 0.2 percent,
though cushioned by higher gold prices as investors fled back
into safe-haven investments. [GOL/]
 Gold miners were among the few bright spots on the index,
with Goldcorp (G.TO: Quote) up 1.47 percent at C$46.21 and Kinross
Gold (K.TO: Quote) rising 0.94 percent to C$15.08.
 Canadian manufacturers saw sales slip 1.3 percent in April,
as expected, reversing much of March's gains as the Japanese
disaster cut into parts supplies to the auto industry.
[nN15132944]
 Overseas, euro zone officials were divided over a new aid
plan for debt-laden Greece, while angry demonstrators in the
country clashed with police over the government's planned
austerity measures.[ID:nLDE75E041] [MKTS/GLOB]
 ($1=$0.97 Canadian)
 (Reporting by Solarina Ho; editing by Rob Wilson)