Stock markets in Toronto edged lower on Monday as energy companies took cues from oil's return to price slips, offset by gains in some of the country's biggest banks.
The S&P/TSX composite index was off its lows of the morning, but still negative by 22.09 points to greet noon at 14,403.28
The Canadian dollar was down 0.29 cents to 85.89 cents U.S.
Oil and gas stocks have fallen sharply in recent weeks, but most ticked higher last week after one among them, Talisman Energy, was acquired by oil major Repsol.
Canadian Natural Resources was off 1.8% at $35.96 and Encana fell 4.1% to $15.73.
Bank of Nova Scotia added 0.8% to $65.63 and Toronto-Dominion Bank rose 0.7% to $54.40.
One expert said life insurance companies, with more foreign exposure, will likely do better than banks in a rising rate environment, while telecom stocks could also win favor as investors turn more defensive after the oil price rout.
ON BAYSTREET
The TSX Venture Exchange skidded 5.29 points to 671.25
The 14 Toronto subgroups were split between gainers and losers, with information technology strengthening 1.2%, health-care up 0.8%, and financials, up 0.7%.
The seven laggards were weighed by gold, dumping 3.1%, while energy and materials each sank 1.8%
ON WALLSTREET
U.S. stocks rose on Monday, with the S&P 500 extending gains after its best weekly performance in nearly two months.
The Dow Jones Industrials moved up 91.32 points to pause for lunch at 17,896.12, with Boeing leading blue-chip gains that included 27 of 30 components.
The S&P 500 gained 0.89 points to 2,071.53, with technology the best performing and energy hardest hit among its 10 major industry groups.
The NASDAQ index tacked on 4.93 points to 4,770.31
Trading volume was likely to be light ahead of the Christmas holiday on Thursday.
American Apparel jumped after the retailer said it would evaluate a proposal to acquire the company for $1.30 to $1.40 U.S. a share.
Equities briefly cut gains after a report had existing home sales down 6.1% to 4.93 million in November.
Prices for 10-year U.S. Treasuries were flat, leaving yields at Friday’s 2.18%.
Oil prices dipped $1.71 per barrel to $55.42 U.S.
Gold prices faded $14.70 an ounce at $1,181.30 U.S.
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