2 Min Read
* TSX down 84.75 points at 11,968.79
* Lower oil prices rattle energy stocks
* Soft corporate earnings play role (Adds details and comments)
By Frank Pingue
TORONTO, Oct 28 (Reuters) - Toronto's main stock index was lower on Wednesday morning, hit by soft corporate earnings and by a drop in oil prices that shook EnCana Corp (ECA.TO) and its energy peers, extending a recent slide in the oil and gas sector.
Suncor Energy (SU.TO) shares fell 1 percent to C$36.57, while EnCana followed with a drop of 1.4 percent to C$61.37.
The energy sector has fallen in the past three sessions. Oil prices dropped to $79 a barrel on Wednesday after hitting a one-year high last week of $82 a barrel [O/R].
The lower start to the TSX followed weakness in equities overnight and came as a number of companies reported soft earnings for the latest quarter.
Shares of Nexen Inc NXY.TO dropped 1.3 percent to C$23.67 after Canada's fourth-largest independent oil explorer said its third-quarter profit fell 86 percent. [ID:nBNG449399]
Open Text Corp OTC.TO shares tumbled 5 percent to C$40.31 after the business software maker posted an 88 percent drop in quarterly profit. [ID:nN27263987]
"It really just seems to be a continuation of a good three-day selloff," said Francis Campeau, broker at MF Global Canada in Montreal. "It seems a bit overdone on the sell side ... but guys are still taking risk off the table."
At 9:55 a.m. (1355 GMT), the S&P/TSX composite index .GSPTSE was down 84.75 points, or 0.77 percent, at 11,968.79.
($1=$1.07 Canadian) (Editing by Peter Galloway)