December 12, 2014 / 4:08 PM / 3 years ago

CANADA STOCKS-TSX declines on oil price fall, Chinese data

* TSX down 63.38 points, or 0.46 percent, at 13,841.74

* Seven of 10 main index sectors decline

* Energy shares remain choppy as oil prices drop

By John Tilak

TORONTO, Dec 12 (Reuters) - Canada’s main stock index fell on Friday after a slump in the price of oil and disappointing Chinese economic data sent energy shares down, setting the market up for a weekly decline.

Figures released on Friday showed China’s factory output growth slowed more than expected in November and growth in investment neared a 13-year low.

A steep descent in the oil price in recent weeks has raised concerns about the commodity’s producers and the broader Canadian equity market, which has a large concentration of energy stocks.

The price of U.S. crude oil slipped below $60, and shares of Canadian energy producers are down about 42 percent since the middle of June.

“With the slide in energy, investors have become bearish towards Canada. Eventually that will straighten itself out, but it could take a while,” said Colin Cieszynski, chief market strategist at CMC Markets Canada.

He said the oil price could go under $50 and expects energy shares to remain under pressure over the next few months.

The Toronto Stock Exchange’s S&P/TSX composite index was down 63.38 points, or 0.46 percent, at 13,841.74. Seven of the 10 main sectors on the index were in the red.

Financials, the index’s most heavily weighted sector, dropped 0.8 percent, with Royal Bank of Canada losing 1 percent to C$77.68 and Toronto Dominion Bank declining 0.7 percent to C$52.12.

Shares of energy producers remained choppy. Canadian Natural Resources Ltd climbed 0.5 percent to C$34.40, but Encana Corp lost 1.8 percent to C$14.22. (Editing by Meredith Mazzilli)

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