The Toronto stock market fell back Monday with traders inclined to do little ahead of a major U.S. Federal Reserve meeting at the end of the week.
The S&P/TSX Composite index jettisoned 33.41 points to finish the session at 12,048.82
The Canadian dollar strengthened 0.16 cents to 100.93 cents U.S.
The base metals sector was down as September copper shed an early advance to move down two cents to $3.47 U.S. a pound. Sector heavyweight Teck Resources fell 12 cents to $28.86.
Rail stocks fell alongside miners with Canadian Pacific Railway down 58 cents to $82.82.
The gold sector slipped as Goldcorp Inc. dipped 50 cents to $39.57.
The energy sector was little changed with the October crude contract on the New York Mercantile Exchange down. Oil prices had been higher earlier Monday but backed off on increased speculation that the U.S. will release oil from reserves to ease the commodity’s rising cost.
Forecasts for tropical storm Isaac also moderated, easing concerns that the storm would damage to key oil and gas operations in the Gulf of Mexico. Precautionary rig evacuations ahead of the storm have already shut about a quarter of the Gulf’s offshore oil output
Canadian Natural Resources declined 41 cents to $30.65.
Telecoms led advancers with Rogers Communications ahead three cents to $40.11 after it said it is buying sports broadcaster Score Media Inc. in a transaction valued at $167 million, or $1.62 per share.
Shares of Score Media jumped nearly 47% Friday following reports that the specialty TV sports broadcaster was in discussions to be purchased by Rogers. Score Media, which owns the Score Television Network, rose 49 cents to $1.54 on the Toronto Stock Exchange before its stock was halted pending news just before noon Friday. Its stock improved a further 19 cents to $1.73 Monday afternoon.
In other acquisition activity, Canadian uranium giant Cameco has purchased one of Australia’s largest undeveloped uranium deposits. Cameco is paying BHP Billiton $430 million U.S. for the Yeelirrie uranium project. Cameco shares were down 23 cents to $22.23.
As in the States, there were no economic reports to sort through in Canada today.
ON BAYSTREET
The TSX Venture Exchange deducted 5.06 points to 1,246.82. The Nasdaq Canada dropped 3.73 points to 347.93
All but three of the 14 Toronto subgroups were lower on the day. Gold sank 1.5%, global base metals were off 1.3%, and materials were down 1.1%.
The three gainers were financials, ahead 0.2%, while information technology and telecoms were each up 0.1%.
ON WALLSTREET
U.S. stocks struggled to find momentum Monday, as investors wait for central banks to decide if the global economy is in need of further stimulus measures.
The Dow Jones industrial average let go of meager gains to close 33.30 points lower at 13,124.70
The S&P 500 index shed 1.13 points to 1,410, while the tech-heavy Nasdaq Composite Index closed positive by 3.41 points to 3,073.19
Best Buy reached an agreement with its founder, Richard Schulze, that allows him a closer look at the company's financial statements as he finalizes a proposal to take over the electronic retailer. The agreement also grants Schulze permission to form an investment group with private equity sponsors and gives him 60 days to present a fully financed deal.
The historic patent battle between Apple and Samsung came to an end Friday, as a California jury found Samsung had infringed on the majority of the patents in question -- including software features like double-tap zooming and scrolling -- and recommended that Apple be awarded more than $1 billion U.S. in damages.
AOL Inc announced its final steps in returning roughly $1.1 billion U.S. to shareholders, as the company authorized a special cash divided of $5.15 U.S. per share.
Tiffany & Co reported earnings that fell short of analyst expectations Monday morning. The company also lowered its outlook for the remainder of the year. But many thought the report would be much worse, which pushed shares higher.
Hertz Global Holdings and Dollar Thrifty Automotive Group agreed to merge in a deal valued at $2.3 billion U.S. Hertz will pay $87.50 U.S. a share in cash through a tender offer for Dollar Thrifty stock.
Investors are holding their breath ahead of Federal Reserve Chairman Ben Bernanke's annual speech in Jackson Hole, Wyo. later this week.
Minutes released last week from the Fed's last two-day meeting, which ended on August 1, suggested that additional stimulus could come "fairly soon" unless the economic recovery regains substantial and sustainable strength. But a day later, St. Louis Federal Reserve President James Bullard talked down the odds of anything imminent, calling the minutes "a bit stale."
Meanwhile, the Republican National Convention begins Monday in Tampa, Fla. Presidential candidate Mitt Romney and his running mate, Wisconsin Congressman Paul Ryan, will deliver speeches that should shed more light on their proposed policies.
There are no major economic reports being issued today in the United States.
The price on the benchmark 10-year U.S. Treasury rose, pushing the yield down to 1.65% from 1.68% late Friday. Treasury prices and yields move in opposite directions.
Oil for September delivery declined 50 cents to $95.65 U.S. a barrel.
Gold futures for December delivery increased $2.70 to $1,675.60 U.S. an ounce.
