CANADA STOCKS-TSX nears 4-month low as energy shares drop with oil price

Thu Oct 2, 2014 10:40am EDT
 
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* TSX down 106.03 points, or 0.72 percent, at 14,699.41
    * Eight of the 10 main index sectors decline
    * CP Rail jumps on revenue growth plans

    By John Tilak
    TORONTO, Oct 2 (Reuters) - Canada's main stock index dropped
to its lowest in nearly four months on Thursday as sluggish oil
prices and a selloff in the heavyweight energy sector helped
extend the market's recent streak of losses.
    Stock markets around the world have been under pressure
because of worries about the strength of the global economic
recovery and news of the first confirmed case of Ebola in the
United States. 
    Geopolitical tensions and concerns about when the U.S.
Federal Reserve will raise interest rates have also been a drag.
Markets were expecting that the monthly U.S. payrolls report on
Friday might provide some clues on the direction of Fed policy.
    "There's continued selling pressure in the market. Early
October is a weak period for markets," said Colin Cieszynski,
chief market strategist at CMC Markets Canada. "We're going to
be volatile in Canada, just because of what we've seen in
commodity prices over the last month."
    The Toronto Stock Exchange's S&P/TSX composite index
 was down 106.03 points, or 0.72 percent, at 14,699.41.
It has fallen in nine of the last 10 sessions.
    Eight of the 10 main sectors on the index were in the red on
Thursday.
    Shares of oil and gas producers gave back 1.7 percent, with
the prices of both U.S. and Brent crude oil sliding. Canadian
Natural Resources Ltd declined 1.5 percent to C$41.48,
and Suncor Energy Inc shed 1.5 percent to C$39.43.
    The group is down 17 percent since June.
    Financials, the index's most heavily weighted sector, lost
0.6 percent. Bank of Nova Scotia fell 1.4 percent to
C$68.71, and Toronto-Dominion Bank was down 0.7 percent,
at C$53.94.
    In corporate news, Canadian Pacific Railway Ltd 
jumped 2.6 percent to C$228.53 after the company said on
Wednesday it planned to raise its annual revenue to C$10 billion
by 2018. 
    ($1=$1.12 Canadian)

 (Editing by Peter Galloway)