November 29, 2010 / 3:30 PM / 8 years ago

CANADA STOCKS-TSX dragged lower by slumping resource stocks

 * TSX down 92.09 points, or 0.71 percent, at 12,800.62
 * Nine of the index’s 10 main groups lower
 * Barrick Gold down 2.14 percent  (Adds details, analyst’s comment)
 TORONTO, Nov 29 (Reuters) - Toronto’s main stock index fell on Monday morning as a multibillion-dollar bailout deal for Ireland did not lessen investors’ worries, and as gold-mining shares retreated with the price of the precious metal.
 Gold fell below $1,360 an ounce, surrendering earlier gains, as the U.S. dollar hit a two-month high versus the euro on safe-haven buying due to concerns about debt levels in some parts of the euro zone. Copper and other base metal prices also fell, driving down mining shares .
 Nine of the Toronto index’s 10 main groups were lower, with a 1.48 percent tumble in its materials group leading the way.
 Among key decliners were Barrick Gold (ABX.TO), down 2.14 percent at C$50.74, and Teck Resources TCKb.TO, down 2.36 percent at C$48.09. Agrium AGU.TO was off 1.46 percent at C$80.80, while Cameco (CCO.TO) fell 1.68 percent to C$36.91.
 At 10:10 a.m. (1510 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE was down 92.09 points, or 0.71 percent, at 12,800.62.
 Healthcare issues were the lone advancers, up .21 percent.
 “I think the Irish situation probably is approaching resolution here, but now everyone, of course, is going to move on to the next one, worrying about whether Portugal is next, or Spain or whoever,” said Rick Hutcheon, president and chief operating officer at RKH Investments.
 European Union finance ministers endorsed an 85 billion-euro loan package on Sunday to help Dublin cover bad bank debts and bridge a huge budget deficit, but worries persisted that other debt-plagued European countries would need rescuing. [ID:nTOPNOW6]
 Financial stocks were among key issues to watch this week as banks begin reporting quarterly results on Tuesday. Profits are expected to rise modestly, and there is potential for one or two of the lenders to resume dividend hikes for the first time in two years. [ID:nN26128656]
 ($1=$1.02 Canadian)  (Reporting by Ka Yan Ng and Solarina Ho; editing by Peter Galloway)                                        

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