May 31, 2011 / 9:54 PM / 8 years ago

CANADA STOCKS-TSX retreats on golds, RIM; oils cushion slide

   * TSX down 26.78 points, or 0.19 percent, at 13,802.88
 * Six of the 10 main groups retreat
 * Index falls 1 percent in month of May  (Updates with details, comment)
 By Solarina Ho
 TORONTO, May 31 (Reuters) - Toronto’s main stock index ended the day and month lower on Tuesday, weighed down by retreating gold miners, while a modest eleventh-hour rebound by energy issues helped pare some earlier losses.
 The broader materials sector, where mining firms are grouped, slid 0.59 percent, with Kinross Gold (K.TO) falling 3.06 percent to C$15.22 and Goldcorp (G.TO) off 1.2 percent at C$48.46.
 Gold prices dipped modestly after touching four-week highs as upbeat news that Germany could ease the way for Greece to receive a debt bailout prompted investors to look to riskier assets and away from the safe haven of bullion. [GOL/]
 The tech group advanced 0.42 percent despite a 4.37 percent tumble by BlackBerry maker Research In Motion RIM.TO, which finished the session at C$41.35. It was the single most influential decliner on the composite index.
 This followed news that mobile phone maker Nokia NOK1V.HE (NOK.N) slashed its sales and profit outlook, and scrapped forecasts for 2011 due to tumbling prices and intense competition from Apple (AAPL.O) and Google (GOOG.O) in the smartphone sector. [nLDE74U1CO]
 “Investors are fairly or unfairly making the link that if Nokia is not competing, then Research In Motion is also going to have trouble,” said Barry Schwartz, portfolio manager at Baskin Financial Services.
 “Certainly, the numbers show it’s really a two horse race. It’s iPhone and Android, and Research In Motion is losing market share hand over fist.”
 The Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE finished the session down 26.78 points, or 0.19 percent, at 13,802.88. Six of the 10 main groups were lower.
 The TSX ended the month about 1 percent lower.
 “We have a couple of good days, a couple of bad days ... there doesn’t seem to be anything out there that’s grabbing anybody,” said John Ing, president of Maison Placements Canada.
 Early session gains quickly evaporated as U.S. data underscored the tepid recovery south of the border. Business activity in the U.S. Midwest grew much less than expected in May and consumers turned more pessimistic as well, reports showed on Tuesday. [nN9E7G401Z] [nN9E7G401Y]
 “Developments in the States  ... it seems to be positionings are hardening more than anything else. That will be a looming factor,” noted Ing.
 Energy issues, which spent much of the session in retreat, swung into positive territory, rising 0.06 percent.
 Influential advancers like Crescent Point Energy (CPG.TO) and Arc Resources (ARX.TO) helped offset big index draggers like Suncor Energy (SU.TO), which fell 1.32 percent to C$40.45. Crescent Point finished up 1.89 percent at C$46.92 while Arc jumped 3.16 percent to C$26.79.
 Crude futures moved higher following a pipeline closure and a decline in the U.S. dollar. TransCanada Corp (TRP.TO), whose Keystone line was shut over the weekend due to a new leak, was the second most influential advancer, rising 0.91 percent to C$43.39. [O/R] [ID:nN31283793]
 Bank of Nova Scotia (BNS.TO), bucked the recent bank earnings trend and reported sharply higher profits that topped expectations. It was the most important mover on the positive side, rising 0.64 percent to C$59.36. [ID:nN31281525]
 The overall financials group was off 0.06 percent, however.
 Intact Financial Corp (IFC.TO) shares, which were halted, could be in focus on Wednesday following news that the insurance firm bought the Canadian arm of French insurer AXA Group (AXAF.PA) for C$2.6 billion. [ID:nN3195307]
 ($1=$0.97 Canadian)  (Additional reporting by Ka Yan Ng; editing by Rob Wilson)                                        

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