The Toronto Stock Exchange's main index closed lower on Friday, snapping a five-day winning streak but finishing a volatile quarter higher as investors took profits from most sectors of the market. The S&P/TSX composite index closed down 30.84 points, or 0.2 percent, at 14,098.89.
That puts the index up 1.4 percent in the third quarter of 2007, which included a credit market-related plunge that saw the composite bottom out at 12,463.78 in mid-August. "Having dipped down so severely in August, I think the quarter is quite successful, even though we're only up marginally," said Ian Nakamoto, director of research at MacDougall, MacDougall & MacTier.
"Obviously if it wasn't for the US Federal Reserve stepping in and reducing rates by 50 basis points, we wouldn't be at this point." The index climbed 1.1 percent in the week. Energy stocks, which rose in the morning, closed the week with a slide after commodity investors took profits from near-record prices for oil. US crude dipped $1.22 to $81.66 a barrel as worries returned over a slowdown in the US economy.
Suncor Energy was off C$1.25, or 1.3 percent, at C$94.46. Elsewhere in the oil patch, EnCana Corp - which added 17 Canadian cents, or 0.3 percent, to C$61.50 - warned it will slash spending in Alberta by $1 billion if a panel's recommendations to boost provincial royalties and taxes are adopted in full.
The energy sector fell 0.2 percent, the information technology group was down 1.2 percent, and telecoms was off 0.6 percent. BlackBerry-maker Research In Motion slipped C$2.15, or 2.2 percent, to C$97.75, while Telus Corp tumbled 80 Canadian cents, or 1.4 percent, to C$57.50.
Only two of the TSX index's ten main sectors were higher: the small health care group and the bigger materials sector, which represents about 17 percent of the overall index. The gold mining subsector was the day's winner, propped up by underlying bullion futures, which soared to a 28-year high.
Barrick Gold was the biggest weighted gainer, up 62 Canadian cents, or 1.6 percent, at C$39.95. Goldcorp was second-biggest, up 65 Canadian cents, or 2.2 percent, at C$30.40. Nakamoto noted that the third quarter, just ended, historically tends to be the worst quarter for the Toronto market - while the fourth tends to be the best.
Market volume was 381 million shares worth C$6.5 billion. Advancers outpaced decliners 869 to 750. The blue chip S&P/TSX 60 index closed 2.63 points lower, or 0.32 percent, at 817.39.
Comments
Comments are closed.