CANADA STOCKS-TSX falls as gold and oil prices retreat

Tue Oct 20, 2009 1:16pm EDT
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 * TSX off 0.21 pct at 11,514.11, relinquishes early gains
 * Gold price slips below $1,060/oz, gold miners reverse
 * Oil slips from 1-year high, Suncor leads all decliners
 * Weak U.S. data hurts sentiment, offsets earnings news
 By Ka Yan Ng
 TORONTO, Oct 20 (Reuters) - Toronto's main stock index
turned lower on Tuesday as commodity price pressures erased
early strength in Barrick Gold ABX.TO and other gold miners,
and oil and gas shares dropped as well.
 Most of the biggest weights on the market came from
resource-based issues as prices for gold and oil, key drivers
of the commodity-heavy TSX, came off recent highs. [GOL/][O/R]
 Gold slipped below $1,060 an ounce and drove Barrick down
0.77 percent to C$39.80, the second biggest heavyweight
decliner on the index.
 Five gold-mining stocks were among the top 10 most notable
decliners at midday. Big decliners included Goldcorp G.TO,
down 1.5 percent at C$43.15, and Kinross Gold K.TO, off 1.6
percent at C$23.51.
 Suncor SU.TO topped all decliners, falling 1.5 percent to
C$39.55, and fellow oil company Canadian Natural Resources lost
1.9 percent to C$76.77. The price of oil fell from a one-year
high over $80 a barrel.
 At 12:59 p.m. (1659 GMT), the S&P/TSX composite index
.GSPTSE was down 24.28 points, or 0.21 percent, at 11,514.11.
The index rose about 50 points earlier in the day as a handful
of upbeat U.S. corporate earnings buoyed sentiment, but that
was soon offset by disappointing U.S. data.
 New construction of U.S. homes rose less than expected in
September, while U.S. producer prices posted an unexpected
decline, largely on falling energy prices. [ID:nN20424995]
 "Weak economic data in turn weakens commodities and as a
result, Canada is taking a pretty broad-based hit but we're not
down a whole lot here," said Steve Ibel, institutional equities
trader at Beacon Securities, in Halifax, Nova Scotia.
 Some issues held higher, influenced by strong quarterly
results from U.S. technology bellwether Apple AAPL.O and
heavy machinery maker Caterpillar CAT.N, which helped to lure
investors into equities.
 BlackBerry maker Research In Motion RIM.TO was up 0.6
percent at C$69.85. Shares of uranium miner Cameco Corp
CCO.TO topped all advancers, rising 7.7 percent to C$32.81.
 Before the market opened, the Bank of Canada reiterated its
conditional pledge to keep its overnight interest rate at 0.25
percent through mid-2010. [ID:nN19231469]
 ($1=$1.05 Canadian)
 (Editing by Peter Galloway)