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CANADA STOCKS-TSX falls as banks, energy stocks weigh with lower oil

Published 2016-06-16, 11:28 a/m
© Reuters.  CANADA STOCKS-TSX falls as banks, energy stocks weigh with lower oil
XAU/USD
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(Adds details from early trade, updates prices)
* TSX falls 100.24 points, or 0.72 percent, to 13,823.21.
* Nine of the TSX's 10 main groups slip

TORONTO, June 16 (Reuters) - Canada's main stock index fell
on Thursday as financial and energy stocks dragged due to lower
oil prices and a dim economic outlook as mounting risk that
Britain will leave the European Union weighed on global stock
markets.
Meanwhile, gold miners extended recent gains as bullion
XAU= hit a two-year peak, and the 19 most influential gainers
were all materials stocks.
At 10:53 a.m. EDT (1453 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was down 100.24 points, or
0.72 percent, to 13,823.21.
Nine of its 10 main sectors retreated, with four decliners
for every gainer.
The index has fallen more than 4 percent since peaking this
month at its highest in 10 months.
The Bank of Canada said economic growth likely stalled in
the second quarter due to the impact of Alberta wildfires, while
slumping investment spending plans in the energy sector and the
possibility that households will suddenly curb their spending
due to high debt levels also present risks.
The energy group retreated 2 percent as crude prices hit a
three-week low, while financial stocks were off 1 percent. O/R
The two sectors combined account for 56 percent of the
index's weight.
The most influential stocks in morning trade included the
country's largest bank, Royal Bank of Canada RY.TO , which fell
1.1 percent to C$76.16, and Canadian National Railway Co
CNR.TO , which declined 1.6 percent to C$73.80.
The railway's chief executive told the Globe and Mail
newspaper that it may cut spending by as much as C$400 million
next year.
Canadian Natural Resources Ltd CNQ.TO declined 0.2 percent
to C$37.02. The oil producer sharply raised its cash-flow
forecast for the year on Wednesday as it gains from a rally in
crude oil prices.
The industrials group fell 0.9 percent.
Gold futures GCc1 rose 1.9 percent to $1,310.4 an ounce,
helping Barrick Gold Corp ABX.TO to advance 4.3 percent to
C$27.65 and Goldcorp Inc G.TO to add 3.4 percent to C$24.35.
GOL/
The materials group, which includes precious and base metals
miners and fertilizer companies, added 1.8 percent.
Foreign investors bought a net C$15.52 billion ($11.94
billion) in Canadian securities in April, the fourth straight
month of relatively significant purchases, Statistics Canada
said on Thursday.

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