TORONTO (Reuters) - Canada’s main stock index retreated on Thursday as some of its biggest bank shares fell despite reporting profit growth, while railway and pipeline stocks also weakened, offsetting overall gains for resource stocks.
The overall financials group retreated 0.5 percent as analysts were concerned about industry growth prospects in the face of slumping oil prices.
At 11:08 a.m. EST (1608 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE fell 38.73 points, or 0.29 percent, to 13,425.09, with six of the index’s 10 main groups in negative territory.
Toronto-Dominion Bank on Thursday reported higher quarterly profit with growth in its domestic retail and capital markets divisions offsetting concerns about the impact of depressed oil prices.
Also on Thursday, Canadian Imperial Bank of Commerce posted a fourth-quarter profit that beat market expectations, helped by growth in its retail banking and capital markets segments, and raised its quarterly dividend.
The materials group rose 0.7 percent, led by gold stocks after additional easing measures from the European Central Bank helped the price of gold bounce from near six-year lows.
The energy group firmed 0.2 percent, led by a 1.6 percent gain for Cenovus Energy Inc (CVE.TO) to C$19.98.
Enbridge Inc (ENB.TO), Canada’s largest pipeline company, fell 0.8 percent to C$46.86, after raising its quarterly dividend and announcing a five-year strategic plan.
TransCanada Corp (TRP.TO), Canada’s second largest pipeline operator, fell 0.5 percent to C$42.48 after it said it raised its stake in the Bruce nuclear power plant in Ontario to 48.5 percent.
U.S. crude CLc1 prices were up 1.1 percent to $40.36 a barrel, while Brent crude LCOc1 added 1.8 percent to $43.26.[O/R]
($1 = 3.7861 Brazilian reais)
Reporting by Fergal Smith; Editing by Jeffrey Benkoe