July 12, 2011 / 3:23 PM / 6 years ago

CANADA STOCKS-TSX flat in choppy trade; euro zone, RIM eyed

3 Min Read

   * TSX up 1.82 points at 13,181.57
 * Golds offset broader weakness in other sectors
 * RIM to hold shareholder meeting later in day  (Adds details)
 TORONTO, July 12 (Reuters) - Toronto's main stock index was little changed on Tuesday morning as gold mining issues benefited from a flight to safety and helped offset weakness in other sectors.
 Trading on the TSX was volatile, seesawing on either side of the unchanged mark through the morning, with the market largely driven by macroeconomic factors, particularly euro zone debt worries.
 At 10:45 a.m. (1445 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 1.82 points, or 0.01 percent, at 13,181.57. The slim gain came a day after the index posted its biggest one-day fall in more than a month.
 Half of the TSX's 10 main sectors were higher, led by a 0.6 percent rally in the influential materials group, home to gold miners.
 Worries that the euro zone debt crisis may spread drove investors away from riskier assets, but gold-mining stocks were sought in a move to find safe havens amid uncertainty.
 Goldcorp G.TO pushed up 1.1 percent to C$49.35, while Barrick Gold (ABX.TO) gained 0.85 percent to C$44.85. Kinross Gold (K.TO) advanced 1.5 percent to C$16.01.
 European officials for the first time refused to rule out a debt default by Greece and investors feared the crisis could overtake the bigger economies of Spain and Italy.
 "We've got some very nervous markets here. I think people just don't understand what's going to happen in Europe," said John Kinsey, portfolio manager at Caldwell Securities Ltd.
 "They don't know how far this can spread and how deep it can cut, so that's really the bottom line."
 A mix of blue-chip energy and financial names led the decliners. Royal Bank of Canada (RY.TO) slipped 0.44 percent to C$53.78, while Suncor Energy (SU.TO) fell 0.6 percent to C$38.07. Toronto-Dominion Bank (TD.TO) lost 0.23 percent to C$79.51.
 Kinsey added that the U.S. debt ceiling impasse was not helping sentiment. President Barack Obama and congressional leaders, struggling to break a logjam over taxes and spending cuts, will regroup on Tuesday to seek common ground for a deal to avoid a U.S. debt default.
 Research In Motion RIM.TO will likely be on investors' radar as well, as the BlackBerry maker holds its annual shareholder meeting later in the day. [ID:nN1E767100]
 Separately, RBC Capital Markets said RIM should split itself in two to accelerate innovation and unlock shareholder value. RIM was up 0.74 percent at C$27.40. [ID:nN1E76B0AF]
 ($1=$0.97 Canadian)  (Reporting by Solarina Ho and Ka Yan Ng; editing by Rob Wilson)                                        

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below