Weakening energy and utility stocks kept the Toronto stock market in slightly negative territory Monday afternoon.
The S&P/TSX composite index was off 19.94 points to end the session at 13,358.39
The Canadian dollar gained 0.10 cents at 95.49 cents U.S.
The interest rate sensitive utilities sector declined. The component has been under renewed pressure lately as the latest speculation about Fed tapering has pushed bond yields higher. Atlantic Power fell nine cents to $3.96 while Algonquin Power & Utilities gave back nine cents to $6.56.
The energy sector dropped as Canadian Natural Resources shed 52 cents to $32.51.
The base metals sector gave back ground with December copper up one cent to $3.26 U.S. a pound. Teck Resources shed 30 cents to $28.07.
The gold sector was flat as Agnico Eagle Mines faded 62 cents to $30.06.
Gold stocks and bullion prices have been under renewed pressure amid increasing speculation that the Fed is set to back off on its asset purchases, which has in turn pushed the greenback higher.
The tech sector led advancers amid acquisition activity between two major telecom equipment companies.
Telecom Mitel Networks Corp. will acquire Aastra Technologies Ltd. in a stock and cash deal valued at about $400 million. The combined company would have about $1.1 billion U.S. of total revenue, with a global customer base and an opportunity to tap into demand for equipment that supports cloud computing.
Mitel shares inched up seven cents to $7.15 while Aastra shares surged $4.06, or 14.4%, to $32.29.
Shares in Manulife Financial Corp. were 10 cents lower to $19.62 after the insurance giant became the latest big-name investor to buy into a $1-billion financing deal for struggling smartphone maker BlackBerry.
Fairfax Financial Holdings Ltd. is leading the financing, which is being done through an issue of 6% convertible debentures. BlackBerry slipped eight cents to $6.76.
In other corporate news, Sears Canada Inc. is selling its 50% interest in eight properties for about $315 million to Montez Income Properties Corp. Two weeks ago, it announced it would close five stores as part of a deal to sell its rights to the retail space in Toronto's Eaton Centre and four other locations for $400 million.
Its shares gained 70 cents to $16.70.
ON BAYSTREET
The TSX Venture Exchange subsided 2.05 points to 935.36
All but three of the 10 TSX subgroups faded by the closing bell, as consumer staples dropped 0.7%, telecoms weakened 0.6%, and utilities fell 0.5%.
The three gainers were information technology, up 0.7%, materials, moving up 0.3%, and industrials, ahead 0.2%.
ON WALLSTREET
Investors were a little more cautious Monday after driving the Dow Jones industrial average to a new record high last week.
Even so, the Dow Jones Industrials moved forward 21.32 points to yet another all-time high finish, at 15,783.10
The S&P 500 index nicked up 1.28 points to 1,771.89. The NASDAQ edged up 0.56 points to 3,919.79
Both the Dow and S&P 500 are up more than 20% so far this year, while the tech-heavy NASDAQ is up nearly 30%.
But with no major corporate results or economic reports on the schedule, and the Treasury market closed for the Veterans Day holiday, stock market trading was light and subdued.
Priceline shares jumped more than 2% to rise to a new all-time high above $1,100 U.S. a share. Priceline's shares are the priciest in the S&P 500. The stock was the first in the benchmark index to hit the four digits earlier this year.
Another trader noted that rival Expedia may begin to rally thanks to the strong move in Priceline.
Amazon.com shares were up after the e-commerce giant announced a deal with the U.S. Postal Service to deliver seven days a week.
The service will initially launch only in New York and Los Angeles, but is expected to expand to Dallas, Houston, New Orleans and Phoenix in 2014.
Best Buy shares gained ground after UBS upgraded the electronics retailer's stock to buy from neutral, and raised its price target to $49 U.S. per share. Jefferies also boosted its price target on the stock. Best Buy is up 270% so far this year, making it the best performing stock in the S&P 500.
Some traders wondered if the stock's surge may be overdone, given that Best Buy is still in the middle of a turnaround.
Transocean gained ground after the company agreed to increase its dividend. Activist investor Carl Icahn, who owns a stake in Transocean, had been pressing the company to boost its payout.
Shares of Twitter rose after briefly tumbling below $40 U.S. a share Monday morning. The stock surged 73% on its first day of trading Thursday, but fell 7% Friday.
Bond markets were closed for Veterans Day.
Oil prices moved forward 44 cents to $95.04 U.S. a barrel.
Gold prices chopped $2.80 to $1,282.80 U.S. an ounce.
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