The Toronto stock market was little changed Tuesday morning a day after surging on data which indicated improving economic conditions.
The S&P/TSX Composite Index slid 44.57 points in the first few minutes of trading to 10,559.49, after hitting a new eight-month high on Monday.
The TSX energy sector was the leading decliner, as EnCana Corp. fell $1.29 to $61.58 and Suncor Inc. was down $1.13 to $38.90.
Restructuring oil and gas company Canadian Superior Energy Inc. is selling its stake in offshore Trinidad oil assets to Centrica for $142.5 million U.S. Its shares were unchanged at 82 cents.
Shares in Exfo Electro-Optical Engineering Inc. tumbled $1.02 or 20% to $4.06 after it warned Monday that a weakening of the U.S. dollar against the loonie will hurt its most recent quarterly results.
Paper giant Domtar Corp. said Monday that its Board of Directors has authorized the implementation of a reverse stock split at a one-for-12 ratio of its outstanding common stock.
The company believes the share consolidation will make its stock more attractive to a broader range of institutional and other investors, since many brokerage houses have internal policies to avoid low-priced stocks. Its shares rose 11 cents to $1.55.
Shopping mall developer RioCan Real Estate Investment Trust has agreed to sell $150 million worth of its trust units to the public through a syndicate of underwriters. It's using the money to fund development activities and future property acquisitions and to bolster RioCan's cash reserves. RioCan units lost 34 cents to $15.12.
Brick Brewing Co. Ltd. is going back to court, this time filing a lawsuit against founder Jim Brickman alleging he committed "wrongs" against the company over a number of years. Its shares were unchanged at 65 cents.
The Canadian dollar gained another 1.06 cents to 92.43 cents U.S.
ON BAYSTREET
Of the 13 TSX subgroups, eight were in positive territory by noon. Metals and mining stocks led the parade, up 1.9%, health-care stocks were ahead 1.2% and real-estate, advanced 1%.
The five subgroups that lost were weighed down by energy, off 2.1%, information technology, sliding 1.6% and consumer staples, down 0.7%.
The TSX Venture Exchange was up 4.58 points at 1,145.13 while the Nasdaq Canada Index went up 4.23 points to 791.24.
ON WALLSTREET
New York markets were flat by noon Tuesday, following a solid advance ahead of the latest reading on pending home sales for April.
The Dow Jones Industrials average regained 5.64 points to greet the noon hour at 8,727.08
The S&P 500 index fell 0.95 to 941.92, while the Nasdaq Composite Index picked up 3.01 points, to 1,831.69.
On Tuesday, the National Association of Realtors reported that pending home sales jumped 6.7% in April, and posted year-over-year increases in ever region but the West.
Three more banks announced plans to repay the government bailout money.
JPMorgan Chase said late Monday it plans to raise $5 billion towards the $25 billion U.S. it owes the government. American Express also said late Monday that it will raise $500 million toward the $3.4 billion U.S. it owes.
Morgan Stanley said Tuesday that it plans to raise $2.2 billion U.S.
The Federal Reserve is expected to announce next week which of the 19 banks that it stress tested are in good enough shape to pay back bailout funds. In order for banks to pay back the government, they must prove that they can raise money without depending on guarantees against losses provided by the Federal Deposit Insurance Corp. (FDIC).
In other financial news, Citigroup will withhold severance payments worth tens of millions of dollars to five former executives, according to a published report.
Citigroup will be kicked out of the Dow, with home, auto and commercial insurer to take its place starting Monday, June 8. The government now owns a large stake in Citi and the company is undergoing a restructuring.
General Motors announced the sale of its Hummer truck brand one day after it filed for bankruptcy protection, bringing an end to an era for the automaker.
GM is now trading under the symbol GMGMQ, as of Tuesday. It will be removed from the S&P 500 at the close of trading Tuesday and is also being kicked out of the Dow. Cisco Systems takes its place starting Monday.
Prices for 10-year Treasurys inched upward, dropping the yield to 3.67%. Prices and yields for bonds travel in opposite directions.
The price of oil fell 18 cents to $68.40 U.S. a barrel.
Gold prices jumped three dollars to $983.00 U.S. an ounce.
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