CANADA STOCKS-TSX dragged lower by slumping resource stocks

Mon Nov 29, 2010 10:27am EST
 
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 * TSX down 92.09 points, or 0.71 percent, at 12,800.62
 * Nine of the index's 10 main groups lower
 * Barrick Gold down 2.14 percent
 (Adds details, analyst's comment)
 TORONTO, Nov 29 (Reuters) - Toronto's main stock index fell
on Monday morning as a multibillion-dollar bailout deal for
Ireland did not lessen investors' worries, and as gold-mining
shares retreated with the price of the precious metal.
 Gold fell below $1,360 an ounce, surrendering earlier
gains, as the U.S. dollar hit a two-month high versus the euro
on safe-haven buying due to concerns about debt levels in some
parts of the euro zone. Copper and other base metal prices also
fell, driving down mining shares .
 Nine of the Toronto index's 10 main groups were lower, with
a 1.48 percent tumble in its materials group leading the way.
 Among key decliners were Barrick Gold (ABX.TO: Quote), down 2.14
percent at C$50.74, and Teck Resources (TCKb.TO: Quote), down 2.36
percent at C$48.09. Agrium (AGU.TO: Quote) was off 1.46 percent at
C$80.80, while Cameco (CCO.TO: Quote) fell 1.68 percent to C$36.91.
 At 10:10 a.m. (1510 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was down 92.09 points, or
0.71 percent, at 12,800.62.
 Healthcare issues were the lone advancers, up .21 percent.
 "I think the Irish situation probably is approaching
resolution here, but now everyone, of course, is going to move
on to the next one, worrying about whether Portugal is next, or
Spain or whoever," said Rick Hutcheon, president and chief
operating officer at RKH Investments.
 European Union finance ministers endorsed an 85
billion-euro loan package on Sunday to help Dublin cover bad
bank debts and bridge a huge budget deficit, but worries
persisted that other debt-plagued European countries would need
rescuing. [ID:nTOPNOW6]
 Financial stocks were among key issues to watch this week
as banks begin reporting quarterly results on Tuesday. Profits
are expected to rise modestly, and there is potential for one
or two of the lenders to resume dividend hikes for the first
time in two years. [ID:nN26128656]
 ($1=$1.02 Canadian)
 (Reporting by Ka Yan Ng and Solarina Ho; editing by Peter
Galloway)