CANADA STOCKS-TSX droops on economic data, Goldman results

Wed Jan 19, 2011 10:45am EST
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

 *TSX down 23.31 points at 13,535.89
 *Seven of 10 sectors weaker
 (Updates with details, comments)
 By Claire Sibonney
 TORONTO, Jan 19 (Reuters) - Toronto's main stock index was
lower on Wednesday morning as gains in commodity prices were
offset by unexpectedly weak Canadian and U.S. economic data and
by Goldman Sachs (GS.N: Quote) results.
 Profit-taking was also seen after the index shot to its
highest point since early September 2008 on Tuesday.
 Among key decliners were Bank of Nova Scotia (BNS.TO: Quote), off
0.4 percent at C$56.63, and Encana Corp (ECA.TO: Quote), down 1.1
percent at C$31.52.
 BlackBerry maker Research In Motion RIM.TO was also hit,
sliding 0.7 percent to C$64.37 following strong results from
rival Apple Inc (AAPL.O: Quote) after the bell on Tuesday.
 "You're going to get a little bit of consolidation as the
market makes new highs, you're going to have some selloffs and
setbacks," said Bruce Latimer, a trader at Dundee Securities.
 U.S. housing starts and Canadian manufacturing sales data
for November fell well below expectations, while Goldman Sachs
Group reported a drop in fourth-quarter profit, denting market
optimism about a strong earnings season. [ID:nN18199881]
 Latimer said the slide in Goldman, whose shares where down
about 3 percent, should be taken into perspective.
 "The whole banking sector has had a pretty decent move the
last little while and obviously they disappointed a little bit
but they're certainly making a lot of money."
 At 10:20 a.m. (1520 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was down 23.31 points, or 0.2
percent, at 13,535.89. Seven of its 10 sectors were lower,
including energy, as U.S. crude oil prices fell below $92 a
barrel. [O/R]
 Gold, however, was up and copper hit record highs. [MET/L]
 Teck Resources TCKb.TO sank 1.2 percent to C$63.05 after
warning its first-quarter coal sales would be hurt by adverse
weather conditions and rail traffic disruption.
 Nexen Inc NXY.TO fell 0.7 percent to C$24.06 after the
independent oil and gas producer said on Tuesday it will sell
its 65 percent stake in the Canexus Income Fund CUS_u.TO.
Canexus dropped 5 percent to C$6.46. [ID:nN18169709]
 Air Canada ACa.TO retreated 1.2 percent to C$3.24 after
an analyst's share-price target cut. [ID:nWNAB5490]
 ($1=$0.99 Canadian)
 (Reporting by Claire Sibonney; editing by Peter Galloway)