August 14, 2013 / 3:21 PM / 6 years ago

CANADA STOCKS-TSX steady as financials offset jump in golds

* TSX falls 7.36 points, or 0.06 percent, to 12,634.83
    * Seven of 10 main index sectors decline
    * TransCanada has biggest negative influence on the market

    By John Tilak
    TORONTO, Aug 14 (Reuters) - Canada's main stock index was
little changed in choppy trade on Wednesday, with weakness in
the financial sector offsetting a jump in shares of gold
producers, as investors processed positive economic data from
the euro zone.
    Figures released on Wednesday showed Germany and France grew
faster than expected in the second quarter, fueled by renewed
business and consumer spending in the region's two largest
    The data from Europe suggests that things may not be as bad
as some investors might have anticipated, said David Cockfield,
managing director and portfolio manager at Northland Wealth
    "We seem to be in a market where there's an awful lot of
fear mongering," he said.
    "Virtually everything that has caused the market to sell off
hasn't happened," he added. "Greece didn't collapse, burn and
disappear. The EU is still together."
    The Toronto Stock Exchange's S&P/TSX composite index
 was down 7.36 points, or 0.06 percent, at 12,634.83.
    The benchmark Canadian index, which eased from a two-week
high it hit the previous session, is barely up since the start
of the year.
    Cockfield believes it could hit the 13,000 mark by the end
of 2013 as investors begin to realize the value the market
offers them.
    "The market is cheaper than it was in the beginning of the
year," he said. "Despite the fact that the TSX has done
virtually nothing this year, corporate earnings have increased,
dividends have increased and multiples have come down."
    Seven of the 10 main sectors on the index were in the red.
    Financials, the index's most heavily weighted sector, gave
back 0.3 percent.
    Royal Bank of Canada, the country's biggest lender,
lost 0.3 percent to C$63.88.
    Shares of energy companies were down 0.3 percent. 
    TransCanada Corp declined 1.4 percent to C$46.25
and had the biggest negative influence on the market. Canadian
Natural Resources Ltd fell 0.8 percent to $30.97.
    But the materials sector, which includes mining stocks, rose
2.8 percent, helped by a 4.2 jump in shares of gold producers.
    Goldcorp Inc gained 3.8 percent to C$30.42, and
Barrick Gold Corp added 5.1 percent to C$19.33.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below