Canadian stocks settled a tad lower Monday, dragged down mostly by shares of Research In Motion ahead of its new platform launch although financial stocks propped up the main index. Nevertheless, investor sentiments were buoyed by a U.S. Commerce Department report that showed a better than expected increase in durable goods orders for December, but partially offset by a National Association of Realtors report which indicated a sharp drop in U.S. pending home sales.
There was also caution among investors ahead of the economic reports due this week from south of the border, including non-farm payroll reports and the outcome of the Federal Reserve policy meet.
The S&P/TSX Composite Index closed Monday at 12,815.91, down 0.72 points or 0.01 percent. The index touched an intraday high of 12,859.93 and a low of 12,812.06.
The Information technology Index shed 2.66 percent, with Blackberry maker Research In Motion (RIM.TO) plummeting 7.61 percent ahead of its new Blackberry 10 platform launch. RIM shares were also impacted after Lenovo Group Ltd downplayed reports of its interest in the smartphone maker.
The Global Gold Index dropped 0.94 percent, with gold futures for February delivery dropping $3.70 or 0.2 percent to close at $1,652.90 an ounce Monday on the Nymex.
The Capped Materials Index shed 0.85 percent, with Potash Corporation of Saskatchewan Inc. (POT.TO) surrendering 1.27 percent.
Among gold stocks, Barrick Gold Corp. (ABX.TO) was down 0.79 percent, while Kinross Gold Corp. (K.TO) gave up 2.56 percent. Yamana Gold Inc. (YRI.TO) shed 1.22 percent, while Goldcorp. Inc. (G.TO) dropped 0.84 percent. Iamgold Corp. (IMG.TO) gained 0.71 percent.
The Diversified Metals & Mining Index slipped 0.58 percent, with Teck Resources Limited (TCK.B.TO) down 1.27 percent and Lundin Mining Corp. (LUN.TO) down 0.77 percent. First Quantum Minerals Ltd. (FM.TO) gained 0.58 percent.
The Energy Index edged down 0.06 percent, although U.S. crude oil futures for March delivery gained $0.56 or 0.6 percent, to close at $96.44 a barrel Monday on the Nymex.
Among energy stocks, Suncor Energy Inc. (SU.TO) moved up 0.35 percent, while Encana Corp. (ECA.TO) shed 0.86 percent. Talisman Energy Inc. (TLM.TO) shed 1.41 percent, while Canadian Natural Resources Limited (CNQ.TO) inched up 0.03 percent.
The Financial Index gained 0.52 percent, with TD Bank Group (TD.TO) up 0.24 percent, the Bank of Nova Scotia (BNS.TO) up 0.80 percent, and Bank of Montreal (BMO.TO) up 0.59 percent. Royal Bank of Canada (RY.TO) moved up 0.82 percent.
The Capped Industrials Index gained 0.05 percent with transportation systems maker Bombardier Inc. (BBD.A.TO, BBD.B.TO) jumping 2.26 percent and Canadian Pacific Railway (CP.TO) edging up 0.12 percent.
Biopharmaceutical company Medicago Inc. (MDG.TO) rose over 5 percent after said entering into a collaboration agreement with Japan’s Mitsubishi Chemical Holdings Corp. (MTLHF.PK) to develop a next generation technology for plant production.
Medical devices company TSO3 Inc. (TOS.TO) gained over 3 percent after announcing it has filed a new and simplified submission with the US regulatory agency seeking commercial clearance of its STERIZONE 125L+ Sterilizer in that market.
Airframe structures maker Avcorp Industries (AVP.TO) announced that it has ceased any and all litigation against Bombardier Inc.(BBD_A.TO, BBD_B.TO) in connection with the termination by Bombardier of production work relating to the CRJ700 aircraft program.
In economic news from the U.S., a Commerce Department report showed durable goods orders to have surged 4.6 percent in December following a 0.7 percent increase in November. Economists had been expecting orders to increase by about 1.6 percent. Excluding an 11.9 percent jump in orders for transportation equipment, durable goods orders increased by a more modest 1.3 percent in December compared to a 1.2 percent increase in November. Ex-transportation orders had been expected to edge up by 0.4 percent.
Separately, the National Association of Realtors said its pending home sales index fell 4.3 percent to 101.7 in December from 106.3 in November. Economists had expected the index to edge down by 0.3 percent.
Elsewhere, growth in the eurozone broad money aggregate or M3 slowed to 3.3 percent in December from 3.8 percent in November, data from the European Central Bank showed. Economists expected the rate of growth to accelerate to 3.9 percent. M1 or narrow money supply increased 6.2 percent in December compared to a year earlier.
Meanwhile, a leading indicator of the eurozone economy increased for the second successive month in December, driven mainly by improved consumer and business confidence, data from a survey by the Conference Board showed. The leading economic index increased 0.4 percent on a monthly basis to 105.5 in December after rising 0.6 percent in November. The coincident economic index, meanwhile, which measures the current situation, declined to 101.4 in December from 101.5 in the previous month.
by RTT Staff Writer
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