Stocks on Baystreet gave back a little today after three days of gains as key commodity prices fell and weak North American data tainted recent optimism about economic recovery.
The S&P TSX Composite Index closed today down 48.14 points at 12144.84.
On the data front -- Sales of existing homes in Canada in August rose 4.1% from July, the first monthly increase since March, the Canadian Real Estate Association said on Wednesday. The industry group said 32,807 homes changed hands in August, with most of the monthly gains coming from the two biggest markets in Ontario and British Columbia.
Also -- Statistics Canada reported that manufacturing sales fell 0.9% in July to $44.3 billion on weakness in motor vehicles, paper products and furniture products. Economists had expected the number to be unchanged from June. Sales fell in 12 of 21 industries, representing about half of total manufacturing sales.
In corporate news -- forestry company West Fraser Timber Co. Ltd. (TSX:WFT) doubled its quarterly dividend to 6 cents per share and announced a new $125-million capital spending program. Shares in West Fraser gained 35 cents to $38.21.
Gold miner Centamin Egypt Ltd. (TSX:CEE) said it has increased proven and probable reserves at its Sukari mine in Egypt by nearly a third. Shares in Centamin added 14 cents or 5.5% to $2.68 two days after the company revised its 2010 production estimate downwards by about 20%, sending its shares tumbling by more than 10%.
MDS Inc. (TSX:MDS) met analyst expectations for revenue at US$53 million in its fiscal third quarter, but the restructured Canadian life sciences company reported a loss rather than a profit for the three months ended July 31. Shares in MDS lost 14 cents to $10.21.
The Canadian dollar, meanwhile, fell 0.07 of a cent to 97.23 cents US.
ON BAYSTREET
One of the TSX subgroups traded in the green this afternoon. Telecom stocks were ahead .02% for the day.
On the downside -- Metals & Mining stocks fell the most, losing 1.54%, while material stocks were off 0.66% and energy shed 0.64%.
The TSX Venture Exchange was up 8.04 points, at 1630.24, the Nasdaq Canada index also closed green; up 3.75 points higher to 588.64.
ON WALLSTREET
After a bit of a battle at the open, U.S. stocks held on and closed green on Wednesday.
The Dow Jones Industrial Average is up 46.24 points, or 0.44%, to 10552.73. The S&P 500 is up 4.74 points, or 0.42%, to 1125.84. Nasdaq was higher by 11.55 points, or 0.50%, to 2301.32.
The New York Federal Reserve's key manufacturing index, which measures activity in the New York region, dropped more than expected to 4.1 for early September from a reading of 7.1 in August. Economists had expected a drop to 6.4, according to Briefing.com. A reading above zero indicates expansion.
The Fed said industrial production rose 0.2% in August, slightly lower than the 0.3% economists were projecting. Capacity utilization rose slightly to 74.7%.
Separately, the Bureau of Labor Statistics said import prices rose 0.6% in August, the most since April, driven by an advance in both fuel and higher prices for finished goods, food, feed and beverages. Export prices also rose 0.8%, the most since April, after declining in the previous two months.
Among stocks in focus, Steel Dynamics fell 0.6% after the steelmaker issued a third-quarter earnings target that badly missed Wall Street’s expectations. The company said results were hurt by lower margins in the steel segment, although it hinted a turnaround was possible.
Pall Corp. jumped 7%. The maker of filtration and water-purification products posted a 21% drop in fiscal fourth-quarter profit as one-time charges doubled, although revenue and margins rose. The company forecast fiscal-year earnings above analysts’ estimate.
The dollar rose against the euro and the British pound, and surged more than 2.5% against the Japanese yen.
Oil futures for October delivery fell $1.40 to $75.40 a barrel. The government's weekly crude oil inventory report is due later Wednesday.
Gold for December delivery fell $3.60 to $1,268 an ounce. On Tuesday, the December contract rose $24.60, or 2%, to settle at a record high of $1,271.70. That topped the previous record of $1,264.80 reached on June 21.
Bonds: The yield on the 10-year Treasury note rose to 2.71% from 2.67% late Tuesday.
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