*TSX down 59.97 points, or 0.51 percent, at 11,747.53
*Nine of TSX main groups lower
*RIM little changed ahead of quarterly earnings
*Reuters poll sees TSX index higher end 2010
(Adds details, quote)
By Jennifer Kwan
TORONTO, June 24 (Reuters) - Toronto’s resource-heavy index stumbled on Thursday morning as commodity prices came under pressure on renewed doubts about the pace of the global economic recovery.
A mix of big names moved lower, including Royal Bank of Canada (RY.TO), down 1 percent to C$53.24, Suncor Energy (SU.TO), which fell 1.3 percent to C$33.61, and Potash Corp of Saskatchewan (POT.TO), off 0.6 percent at C$101.19. Teck Resources Ltd TCKb.TO dropped 1.4 percent to C$35.16.
The Toronto index’s retreat mirrored the path of global equities, which eased on concerns about economic growth after a glum outlook from the U.S. Federal Reserve. [MKTS/GLOB] [.N] [O/R]
The Fed on Wednesday acknowledged the faltering pace of the U.S. economic recovery as it renewed its vow to hold benchmark interest rates exceptionally low for an extended period. [ID:nN22150078]
“It’s sending a message to the market that they’re extremely concerned about the recovery,” said Michael Sprung, president at Sprung & Co. Investment Counsel, referring to the Fed’s unchanged rate stance. “Normally by this time of the recovery we would be seeing some rate increases if there were any solid underpinnings.”
“That in turn has its affects on commodities and that is not good news for the Canadian market,” he added.
At 10:11 a.m. (1411 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE was down 59.97 points, or 0.51 percent, at 11,747.53, with nine of its 10 main groups lower. The small healthcare group was up 0.1 percent.
The TSX has been volatile in recent sessions, with fresh concerns about economic growth centered on weaker than expected data and euro zone debt worries overhanging broader financial markets.
In a Reuters poll published on Thursday, Canada’s main stock index was seen ticking higher throughout the second half of the year and climbing even further into the middle of 2011.
But the forecasts into next year were in a wide range, reflecting uncertainty about the pace of recovery. [ID:nN22150103]
In individual company news, investors will be closely watching the quarterly results of Research in Motion RIM.TO, expected after the close of trading on Thursday. RIM shares were largely flat, up 0.05 percent at C$62.04. [ID:nN22121298]
Goldcorp Inc (G.TO) defended its embattled Marlin mine in Guatemala on Thursday after the Guatemalan government announced it would suspend operations at the gold-silver mine due to allegations it was contaminating water supplies. Goldcorp shares were down 0.5 percent at C$46.16. [ID:nN24104817]
($1=$1.04 Canadian) (Reporting by Jennifer Kwan; Editing by Mario Di Simine)