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CANADA STOCKS-TSX falls, weighed by energy stocks and Aimia slump

Published 2017-06-14, 10:41 a/m
© Reuters.  CANADA STOCKS-TSX falls, weighed by energy stocks and Aimia slump
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(Updates prices)

* TSX down 76.7 points, or 0.5 percent, to 15,303.05

* Eight of the TSX's 10 main groups move lower

TORONTO, June 14 (Reuters) - Canada's main stock index moved lower on Wednesday as energy stocks fell with a drop in oil prices and loyalty program company Aimia plunged after suspending its dividend payments.

Aimia Inc AIM.TO slumped 6.9 percent to C$1.76 after cancelling those payouts with immediate effect and announcing the resignation of three directors.

Air Canada said in May that it would launch its own loyalty program in 2020, replacing Aeroplan, which Aimia owns and operates. energy group retreated 1.5 percent as oil prices fell after reports showed global supply was rising and U.S. crude inventories were still increasing. O/R

Suncor Energy Inc SU.TO fell 1.4 percent to C$40.30, and Canadian Natural Resources Ltd CNQ.TO lost 1.6 percent to C$38.36.

Canadian crude output will grow by a third to 5.1 million barrels per day (bpd) by 2030, the country's main oil lobby group said on Tuesday, raising predictions for the first time in four years. crude CLc1 prices were down 0.7 percent to $46.16 a barrel, while Brent LCOc1 lost 0.6 percent to $48.45.

At 10:02 a.m. ET (1402 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was down 76.7 points, or 0.5 percent, to 15,303.05.

There were two decliners for every advancer and eight of the index's 10 main groups were lower, with the financials group slipping 0.5 percent and industrials falling 0.3 percent.

The materials group, which includes precious and base metals miners and fertilizer companies, lost 0.1 percent.

Gold miners were among the biggest gainers, as prices for the precious metal rose 1 percent after weaker-than-expected U.S. inflation data for May knocked the dollar index to nine-month lows. GOL/

Kinross Gold Corp K.TO advanced 2.8 percent to C$5.79, while Iamgold Corp IMG.TO rose 3.8 percent to C$7.45, as gold futures GCc1 rose 0.8 percent to $1,276.2 an ounce.

Investors are awaiting a U.S. Federal Reserve interest rate decision and news conference later in the session.

The U.S. central bank is widely tipped to unveil a quarter-point interest rate hike at the end of its latest two-day meeting at 2 p.m. (1800 GMT).

Restaurant Brands International Inc QSR.TO advanced 1.5 percent to C$77.13. Oppenheimer raised the owner of Burger King and Tim Hortons to outperform from perform, according to thefly.com.

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