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CANADA STOCKS-TSX falls on escalating trade tensions, lower oil prices

Published 2018-08-01, 10:24 a/m
© Reuters.  CANADA STOCKS-TSX falls on escalating trade tensions, lower oil prices

August 1 (Reuters) - Canada's main stock index fell on Wednesday, weighed down by fears of an escalation in the U.S.-China tariff war and lower oil prices.

* At 9:58 a.m. ET (1358 GMT), the Toronto Stock Exchange's S&P/TSX Composite index .GSPTSE was down 91 points, or 0.55 percent, at 16,343.01.

* All of the index's 11 major sectors were lower, hurt by broad-based declines across the board.

* The energy sector .SPTTEN , which dropped 0.9 percent, was the biggest drag on the main index.

* Oil slipped below $74 a barrel, pressured by an industry report that U.S. stockpiles of crude rose unexpectedly and by higher OPEC production, adding to indications of more ample supply. O/R

* U.S. crude CLc1 prices were down 1.5 percent and Brent crude LCOc1 lost 1.7 percent.

* Top drags among the energy group were shares of Suncor Energy SU.TO and Enbridge Inc ENB.TO , falling about 1.3 percent each.

* The materials sector .GSPTTMT lost 0.9 percent as copper and other base metals slipped on fears of slower demand due to the renewed trade tensions and worries about slowing growth in top metals consumer China. MET/L

* The Canadian dollar was little changed against its U.S. counterpart as the currency held onto recent gains ahead of a Federal Reserve interest rate decision, despite the trade tensions. The Federal Reserve is expected to keep interest rates unchanged but solid economic growth combined with rising inflation are likely keep it on track for another two hikes this year even as President Donald Trump has ramped up criticism of its push to raise rates. On the TSX, 85 issues were higher, while 150 issues declined for a 1.76-to-1 ratio to the downside, with 11.57 million shares traded.

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* Top percentage gainer on the TSX was Enercare ECI.TO , which jumped 52.6 percent after it said it would be bought by Brookfield Infrastructure Partners BIP.N for C$4.3 billion ($3.3 billion). Celestica CLS.TO , which rose 5.1 percent, was the second-biggest percentage gainer after the company's second-quarter results topped analysts' estimates.

* The top laggard on the TSX was Endeavour Mining EDV.TO , which fell 7.8 percent, followed by shares of Hudbay Minerals HBM.TO , down 6.1 percent. The two companies reported quarterly earnings that missed expectations.

* The most heavily traded shares by volume were those of Hydropothecary Corp HEXO.TO , Enercare and Aphria Inc APH.TO .

* The TSX posted five new 52-week highs and one new low.

* Across all Canadian issues, there were 10 new 52-week highs and seven new lows, with total volume of 18.80 million shares.

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