January 2, 2014 / 4:18 PM / 7 years ago

CANADA STOCKS-China data, energy shares pull TSX lower

* TSX falls 53.87 points, or 0.40 percent, to 13,567.68
    * Nine of 10 main index sectors decline
    * Bombardier up after winning jet order

    By John Tilak
    TORONTO, Jan 2 (Reuters) - Canada's main stock index slipped
on Thursday as signs of a slowdown in China's manufacturing
industry were a drag on oil prices and shares of energy
    Official and private manufacturing surveys showed Chinese
factory activity moderated in December. 
    Data indicating that U.S. manufacturing grew in December at
its fastest pace in 11 months failed to give investors a boost.
    The export-driven Canadian market eased on the first trading
day of 2014, having recorded a 9.6 percent gain last year.
    "Assuming that the economic expansion continues in North
America and Europe remains relatively stable, we're going to see
the possibility of a better year for Canadian stocks," said
Michael Sprung, president of Sprung Investment Management.
    He said investors were having a knee-jerk reaction to the
Chinese data.
    "The markets are just overly sensitive and overly reactive
to these short-term snapshots," he added, pointing out that
economic indicators from the world's second-biggest economy have
been turning positive in recent months.
    The Toronto Stock Exchange's S&P/TSX composite index
 was down 53.87 points, or 0.40 percent, at 13,567.68.
    Nine of the 10 main sectors on the index were in the red.
    With the price of U.S. crude oil shedding almost 2 percent
, energy shares dropped.
    Suncor Energy Inc gave back 1.1 percent to C$36.82,
and Canadian Natural Resources Ltd lost 1.9 percent to
    Financials, the index's most heavily weighted sector,
declined 0.8 percent. Toronto Dominion Bank slipped 0.8
percent to C$98.48, and Royal Bank of Canada was down
0.4 percent at C$71.11.
    But the materials sector added 1.3 percent, helped by 3.2
percent jump in shares of gold producers. The group received
support from a higher bullion price. 
    Goldcorp Inc jumped 4.1 percent to C$23.98, and
Barrick Gold Corp gained 3.5 percent to C$19.36.
    Shares of Bombardier Inc edged up to C$4.62 after
the company said late on Tuesday that it received a firm order
from an undisclosed customer for 38 business aircraft in a deal
valued at about $2.2 billion.
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