Canadian shares dropped as global equities selloff from the escalating Crimea conflict overpowered a rally among resource shares.
The benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) slid 0.2 percent to 14,179.26 at 12:03 p.m. in Toronto. Two shares dropped for every stock that rose as seven out of the ten main industries retreated.
The Crimea tension sent stocks tumbling around the world, with the MSCI All-Country World Index sliding 1.4 percent. Russian stocks had their biggest decline in five years and the Europe Stoxx 600 plunged 2.3 percent, its biggest slide in five weeks. Emerging-market stocks dropped 1.7 percent. Gold soared 2.4 percent and Treasuries rallied.
Ukraine warned that Russia's military is strengthening its presence in Crimea amid the worst standoff between the West and Russia since the Cold War ended.
Russian servicemen confronted Ukrainian army units in the Black Sea district in the last 24 hours, while fighter jets violated airspace and more war ships arrived, border guards and the Defense Ministry said today. U.S. Secretary of State John Kerry is traveling to Kiev after discussing sanctions against Russia. European Union foreign ministers will meet in Brussels.
The S&P/TSX's financials group, which accounts for 34 percent of the main measure, more than any other group, lost 0.6 percent. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, dropped 0.4 percent to C$71.70. Toronto-Dominion Bank (TSE:TD), the second-largest, fell 0.4 percent to C$49.97.
The materials sub-index, which includes mining shares, jumped 1.4 percent as gold climbed to the highest in more than four months. Barrick Gold Corp. (TSE:ABX) rose 1.6 percent to $22.93.
Goldcorp Inc. (TSE:G), the world's biggest producer of the metal by market value, advanced 2.5 percent to C$30.50 in morning trading after agreeing to settle a lawsuit filed by Osisko Mining Corp. (TSE:OSK) and saying it put its hostile bid to take over the Montreal-based gold producer on hold until April 15. Osisko climbed 6.2 percent to C$7.48, expanding this year's rally to 59 percent.
Canfor Corp. (TSE:CFP), the second-largest North American softwood producer, fluctuated between gains and losses. The company said it has agreed to sell the Daaquam samill in Quebec, which produced 120 million board feet of lumber last year. It said the asset wasn’t core to its Western Canadian operations.
Gold futures for April delivery rose 2.5 percent to $1,354.10 an ounce at 11:57 a.m. on the Comex in New York.
The energy sector, the main index's second most heavily weighted group, edged up 0.3 percent as oil, Canada’s largest export, advanced.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, put on 0.9 percent to C$36.85. Canadian Natural Resources Ltd. (TSE:CNQ), the second-largest energy company, tacked on 1.2 percent to C$41.02.
West Texas Intermediate for April delivery gained 2.1 percent to $104.69 a barrel at 11:59 a.m. on the New York Mercantile Exchange.
The consumer discretionary group, the fifth heaviest on the index, ticked up 0.2 percent. Magna International Inc. (TSE:MG), North America’s largest auto-parts supplier, gained 3.9 percent to $102.39 after posting a 31 percent jump to $458 million in fourth-quarter profit as vehicle production grew in North America and Europe. It also lifted its dividend to 38 cents per share from 32 cents per share.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) dropped 0.7 percent to 1,018.32 at 12:07 p.m. in Toronto. Africa Oil Corp. (CVE:AOI), the heaviest stock in the gauge, tumbled 3.6 percent to C$8.34. The 349-company measure, where energy and materials producers account for 84 percent of its weighting, had rallied 10 percent this year before today.
In the U.S., shares dipped, tracking a global selloff in equities, as Russia’s military presence in Ukraine prompted investors to seek havens. The S&P 500 (INDEXSP:.INX) lost 0.9 percent at 10:38 a.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) and the tech-heavy Nasdaq Composite (INDEXDJX:.DJI) each retreated 1 percent. Most followed shares included Men's Wearhouse, Jos. A. Bank Clothiers, General Motors, Ford Motor, Darden Restaurants, Berkshire Hathaway, Tyco International, Caesars Entertainment and Sodastream International.
Reported by Proactive Investors 8 minutes ago.
The benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) slid 0.2 percent to 14,179.26 at 12:03 p.m. in Toronto. Two shares dropped for every stock that rose as seven out of the ten main industries retreated.
The Crimea tension sent stocks tumbling around the world, with the MSCI All-Country World Index sliding 1.4 percent. Russian stocks had their biggest decline in five years and the Europe Stoxx 600 plunged 2.3 percent, its biggest slide in five weeks. Emerging-market stocks dropped 1.7 percent. Gold soared 2.4 percent and Treasuries rallied.
Ukraine warned that Russia's military is strengthening its presence in Crimea amid the worst standoff between the West and Russia since the Cold War ended.
Russian servicemen confronted Ukrainian army units in the Black Sea district in the last 24 hours, while fighter jets violated airspace and more war ships arrived, border guards and the Defense Ministry said today. U.S. Secretary of State John Kerry is traveling to Kiev after discussing sanctions against Russia. European Union foreign ministers will meet in Brussels.
The S&P/TSX's financials group, which accounts for 34 percent of the main measure, more than any other group, lost 0.6 percent. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, dropped 0.4 percent to C$71.70. Toronto-Dominion Bank (TSE:TD), the second-largest, fell 0.4 percent to C$49.97.
The materials sub-index, which includes mining shares, jumped 1.4 percent as gold climbed to the highest in more than four months. Barrick Gold Corp. (TSE:ABX) rose 1.6 percent to $22.93.
Goldcorp Inc. (TSE:G), the world's biggest producer of the metal by market value, advanced 2.5 percent to C$30.50 in morning trading after agreeing to settle a lawsuit filed by Osisko Mining Corp. (TSE:OSK) and saying it put its hostile bid to take over the Montreal-based gold producer on hold until April 15. Osisko climbed 6.2 percent to C$7.48, expanding this year's rally to 59 percent.
Canfor Corp. (TSE:CFP), the second-largest North American softwood producer, fluctuated between gains and losses. The company said it has agreed to sell the Daaquam samill in Quebec, which produced 120 million board feet of lumber last year. It said the asset wasn’t core to its Western Canadian operations.
Gold futures for April delivery rose 2.5 percent to $1,354.10 an ounce at 11:57 a.m. on the Comex in New York.
The energy sector, the main index's second most heavily weighted group, edged up 0.3 percent as oil, Canada’s largest export, advanced.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, put on 0.9 percent to C$36.85. Canadian Natural Resources Ltd. (TSE:CNQ), the second-largest energy company, tacked on 1.2 percent to C$41.02.
West Texas Intermediate for April delivery gained 2.1 percent to $104.69 a barrel at 11:59 a.m. on the New York Mercantile Exchange.
The consumer discretionary group, the fifth heaviest on the index, ticked up 0.2 percent. Magna International Inc. (TSE:MG), North America’s largest auto-parts supplier, gained 3.9 percent to $102.39 after posting a 31 percent jump to $458 million in fourth-quarter profit as vehicle production grew in North America and Europe. It also lifted its dividend to 38 cents per share from 32 cents per share.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) dropped 0.7 percent to 1,018.32 at 12:07 p.m. in Toronto. Africa Oil Corp. (CVE:AOI), the heaviest stock in the gauge, tumbled 3.6 percent to C$8.34. The 349-company measure, where energy and materials producers account for 84 percent of its weighting, had rallied 10 percent this year before today.
In the U.S., shares dipped, tracking a global selloff in equities, as Russia’s military presence in Ukraine prompted investors to seek havens. The S&P 500 (INDEXSP:.INX) lost 0.9 percent at 10:38 a.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) and the tech-heavy Nasdaq Composite (INDEXDJX:.DJI) each retreated 1 percent. Most followed shares included Men's Wearhouse, Jos. A. Bank Clothiers, General Motors, Ford Motor, Darden Restaurants, Berkshire Hathaway, Tyco International, Caesars Entertainment and Sodastream International.
Reported by Proactive Investors 8 minutes ago.