December 11, 2009 / 4:04 PM / 9 years ago

CANADA STOCKS-TSX little changed; telecoms drag after Globalive

 * TSX down 0.02 percent, at 11,462.41
 * Shares of BCE, Telus, Rogers down
 * Higher energy shares provide support  (Adds details, analyst comment)
 By Irene Kuan
 TORONTO, Dec 11 (Reuters) - Toronto’s main stock index was little changed on Friday as the telecoms sector sank after Canada’s decision to allow Globalive to offer wireless service, dragging down shares of existing mobile carriers.
 Shares of Rogers Communications Inc (RCIb.TO), Canada’s biggest wireless firm, fell 3.39 percent at C$32.24. Rival BCE Inc (BCE.TO) fell 1.28 percent at C$27.66 and Telus Corp (T.TO) dropped 1.87 percent to C$33.05.
 Canada surprised investors on Friday by allowing Egyptian-backed Globalive to offer wireless phone service, overturning a regulatory ruling and setting the stage for stepped-up competition in the sector. [ID:nN11255098]
 “If you’ve got another player in the space, it’s going to eat away at their business,” said Bruce Latimer, trader at Dundee Securities.
 At 10:30 a.m. (15:30 GMT), the S&P/TSX composite index .GSPTSE was down 2.18 points, or 0.02 percent, at 11,462.41.
 Another significant drag on the market was the gold sector, including Barrick Gold (ABX.TO), which fell 1.37 percent to C$42.50. Miners fell after gold prices turned negative. [GOL/]
 The impact of the Globalive news and weaker gold prices more than offset gains in energy shares, which rose as oil hovered above the key $70 a barrel mark after falling for seven days. [O/R]
 Energy stocks helping to offset losses included Canadian Natural Resources Ltd (CNQ.TO), up 0.95 percent at C$69.23.  (Reporting by Irene Kuan; Editing by Jeffrey Hodgson)   

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