Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

CANADA STOCKS-TSX falls most in 10 weeks as oil slump hurts energy stocks

Published 2015-12-07, 04:38 p/m
CANADA STOCKS-TSX falls most in 10 weeks as oil slump hurts energy stocks

(Adds portfolio manager comment, details; updates prices to
close)
* TSX ends down 315.94 points, or 2.37 percent, at 13,042.83
* Ten declining stocks for every rising issue

By Alastair Sharp
TORONTO, Dec 7 (Reuters) - Canada's main stock index took
its biggest one-day loss in 10 weeks on Monday, pummeled by
slumping energy stocks as oil prices fell to their lowest in
almost seven years following OPEC's decision to keep crude
production high.
Oil ministers from the Organization of the Petroleum
Exporting Countries dropped any reference to the group's output
ceiling for the first time in decades on Friday, highlighting
disagreement among members about how to accommodate Iranian
barrels once Western sanctions are lifted.
"Everybody was hoping against hope on Friday that OPEC would
come to its senses and manage their business a little bit better
than they have been," said John Kinsey, portfolio manager at
Caldwell Securities Ltd.
Brent and U.S. crude settled at or near February 2009 lows,
and Canada's heavyweight oil and gas sector tumbled 5.9 percent.
O/R
Canadian Natural Resources CNQ.TO fell 6.2 percent to
C$28.80 and Suncor Energy Inc SU.TO declined 3.5 percent to
C$34.77.
The slump appeared contagious, with financials off 1.8
percent and materials stocks losing 3.3 percent as gold and
copper prices also pulled back.
"The banks, I guess because of the loans they have to the
oil companies, are all down quite a bit," Kinsey said. "The
minerals, not to be left out, are having sympathy pains and
they're all down too."
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE closed down 315.94 points, or 2.37 percent, at
13,042.83. That was its sharpest one-day loss since Sept. 28.
At one point it touched 13,018.70, its lowest since Sept.
29.
Declining issues outnumbered advancers by almost 10 to 1,
with 47 stocks hitting fresh 52-week lows.
Diversified miner Teck Resources Ltd TCKb.TO declined 9.4
percent to C$4.99, while gold futures GCc1 fell 1.2 percent to
$1,071 an ounce and copper prices CMCU3 declined 1.2 percent
to $4,557.15 a tonne. GOL/ MET/L
Air Canada AC.TO , which stands to benefit from lower fuel
costs, rose 2.6 percent to C$10.59, and smaller rival WestJet
Airlines Ltd WJA.TO advanced 0.9 percent to C$20.51.
HudBay Minerals Inc HBM.TO stock fell 11.4 percent to
C$5.43 after its chief executive was named to replace Goldcorp
Inc's G.TO CEO after he retires next year.
Goldcorp stock slipped 3.2 percent to C$16.49.
U.S. crude CLc1 prices settled down 5.8 percent at $37.65
a barrel, while Brent crude LCOc1 lost 5.3 percent to $40.74.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

(Editing by Meredith Mazzilli and James Dalgleish)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.