Canada's main stock index dipped on Friday, with heavyweight banks tipping the scales to the downside amid broad pessimism about domestic economic growth and the uncertain outlook for industries tied to energy.
The S&P/TSX composite index plummeted 110.57 points to greet noon at 14,996.43
The Canadian dollar dipped 0.29 cents to 80.13 cents U.S.
All six of the country's biggest banks beat earnings estimates this week, but only Bank of Nova Scotia shares made gains by mid-morning, up 0.9% at $65.15, as the number-three lender outlined a share buyback plan.
Toronto-Dominion Bank shed 1.8% to $54.38, Royal Bank of Canada lost 1.1% to $79.14 and Bank of Montreal dropped 1.4% to $76.06.
Canadian National Railway fell 1.3% to $72.96 and Canadian Pacific Railway Ltd was off 1.3% at $206.11. Industrials, which include the railways, also sagged.
On the economic blotter, Statistics Canada reported real gross domestic product decreased 0.1% in the first quarter, following growth of 0.6% in the fourth quarter of 2014.
This was the first negative growth rate of real GDP since the second quarter of 2011. On a monthly basis, real GDP by industry fell 0.2% in March.
ON BAYSTREET
The TSX Venture Exchange fell 1.64 points to 690.52
All 14 TSX subgroups were in the red midday, with metals and mining off 1.7%, consumer staples and global base metals each down 1.2%
ON WALLSTREET
U.S. stocks traded lower on Friday, the last day of trade for the month, as investors digested economic data and remained cautious on continued concerns about Greece.
The Dow Jones Industrials capsized 90.79 points midday at 18.035.33, with Microsoft leading decliners and Intel and Pfizer leading gains.
The S&P 500 index slumped 9.35 points to 2,111.44, with industrials leading all 10 sectors lower.
The NASDAQ retreated 19.69 points to 5,078.29
Meanwhile, in stock news, the New York Post reported that Intel is close to a deal to buy smaller chipmaker Altera for around $15 billion U.S.
Big Lots reported quarterly profit of 60 cents U.S. per share, one cent above estimates, with revenue in line with forecasts. However, the discount retailer's current quarter earnings forecast is below estimates, with comparable store sales expected to grow by 2-3%.
GameStop earned 68 cents U.S. per share for its latest quarter, seven cents above estimates. Revenue was slightly ahead of forecasts, and the video game retailer also gave an upbeat forecast for the current quarter and full year. The company's results were helped by strong sales of new game software.
Equinix is buying Britain's Telecity Group for $3.6 billion U.S, creating Europe's largest data centre company. The acquisition by U.S.-based Equinix also ends Telecity's bid to buy Dutch data center firm Interxion.
The second read on first-quarter GDP showed a decline of 0.7% as the economy struggled under heavy snow storms and the renewed strength in the dollar.
The U.S. government had forecast a drop of 0.8%. Economists expected a 1% decline in first-quarter GDP, after an original print showed a 0.2% gain. That was down from 2.2% growth in the fourth quarter.
Chicago PMI unexpectedly fell to 46.2 in May versus a read of 52.3 in April.
Consumer sentiment showed a final read of 90.7 for May, the lowest since November and below April's 95.9 print.
Prices for 10-year U.S. Treasuries gained, lowering yields to 2.10% from Thursday’s 2.13%. Treasury prices and yields move in opposite directions.
Oil prices ballooned $1.94 a barrel to $59.62 U.S.
Gold prices were unchanged at $1,188.80 U.S. an ounce.
Related Stories
