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CANADA STOCKS-TSX steady after volatile week; banks offset resource losses

Published 2015-08-14, 11:42 a/m
© Reuters.  CANADA STOCKS-TSX steady after volatile week; banks offset resource losses
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(Adds analyst comments, market details, updates prices)
* TSX up 12.58 points, or 0.09 percent, at 14,250.98
* Six of the TSX's 10 main groups were up

By Solarina Ho
TORONTO, Aug 14 (Reuters) - Canada's main stock index was
steady on Friday, as investors took a pause following a volatile
trading week in which energy and mining stocks were severely
battered.
The index reversed some of Friday's advances, however, as
energy stocks retreated from earlier gains. U.S. crude prices,
already flirting with 6-1/2 year lows, gave back nearly all of
their session gains to trade just above $42 a barrel.
Cenovus Energy Inc CVE.TO was among the biggest drags on
the TSX, falling 1.4 percent to C$17.95, while Penn West
Petroleum Ltd PWT.TO plunged 9.2 percent to C$1.18. Oil and
gas stocks as a whole retreated 0.2 percent.
Another big index drag was Bombardier Inc BBDb.TO . The
plane and train maker was downgraded by Fitch on Thursday,
adding further pressure to the already-struggling company which
has faced an uphill battle winning over the industry with its
CSeries jetliner. Shares sank 5.5 percent to C$1.38, its lowest
level since 1993.
At 11:19 a.m. EDT (1519 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was up 11.9 points, or 0.08
percent, at 14,250.3.
Of the index's 10 main groups, six were in positive
territory. Declining issues outnumbered advancing ones by a
1.12-to-1 ratio. The index was posting three new 52-week highs
and 17 new lows.
"Calm is good. Despite the volatility this week, I'm kind of
impressed by how well the Canadian market has held together,"
said Julie Brough, vice president at Morgan Meighen &
Associates, noting that most other stocks outside of natural
resources were more stable despite the overall rout.
"The overall picture is that it's felt uglier than it
actually has been unless you were overexposed to the resource
side."
A slew of positive economic data from the United States in
recent days also helped sooth markets rattled by China's
devaluation of the yuan at the start of the week.
The hefty financials group climbed 0.4 percent, helped by
Royal Bank of Canada's RY.TO 0.5 percent gain to C$75.75. Bank
of Montreal BMO.TO rose 0.7 percent to C$72.70.
Other energy names including Enbridge Inc ENB.TO also
offset some of the losses. Enbridge was up 1.4 percent at
C$55.76.


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