3 Min Read
*TSX down 141.45 points at 13,159.11
*All 10 index sectors weaker, led by energy, banks
*RIM slides 4.5 pct after UBS share-price target cut (Updates with details, comments)
By Claire Sibonney
TORONTO, July 27 (Reuters) - Toronto's main stock index fell for a third straight day on Wednesday, dropping more than 1 percent, as the political deadlock over raising the U.S. debt ceiling and weak U.S. data sent investors searching for safety.
Heavily weighted financials and energy shares were the top decliners, down 1.04 percent and 1.6 percent respectively as U.S. crude extended losses, falling more than $1 a barrel. [O/R]
Suncor Energy (SU.TO) was the most heavily weighted decliner on the index, falling 1.8 percent to C$38.47, while Toronto-Dominion Bank (TD.TO) followed, down 1.3 percent at C$77.66.
Data that showed U.S. durable goods orders fell unexpectedly in June undermined the confidence of investors, who were already on edge over partisan wrangling ahead of the fast-approaching deadline to raise the U.S. debt ceiling. [nN1E76Q09V] [nN1E76P2HJ]
"(Investors) just wish it would get out of the way, it just sort of seems to be in the press 24/7 right now," said Bruce Latimer, a trader at Dundee Securities, about the U.S. budget impasse.
"Meanwhile you've got some other big North American companies have reported some gangbuster earnings, and it seems to get shoved into the background," he added, noting the surge in quarterly revenues reported by Amazon.com late on Tuesday.
Research In Motion RIM.TO was another top decliner, dropping 4.5 percent to C$24.71 after UBS cut its price target for RIM shares, saying the BlackBerry maker is still in the early stages of a software transition and is facing daunting competition. [nN1E76Q08E]
At 10:23 a.m. (1423 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was down 141.45 points, or 1.06 percent, at 13,159.11. All 10 sectors were weaker.
Valeant Pharmaceuticals International (VRX.TO) was the most heavily weighted gainer on the index, rising 1.6 percent to C$53.36 after reports that the Canadian company had made a takeover offer for Swedish drugmaker Meda AB MEDAa.ST
Canadian Pacific Railway was up 1.5 percent at C$59.25, after reporting a rise in quarterly revenues, though its profit fell 23 percent due to weather-related problems. [nL3E7IR2Y6]
($1=$0.94 Canadian) (Reporting by Claire Sibonney; editing by Peter Galloway)