North American stocks were down on Thursday, following a lacklustre U.S. retail sales report and a lack of progress in budget talks.
The S&P/TSX composite index slumped 63.92 points to conclude Thursday at 12,289.17
The Canadian dollar fell 0.04 cents to 101.54 cents U.S.
Canadian commodity producers were hit by key commodities. Gold fell heavily, and crude oil was behind Wednesday’s close (see below).
A plunge of 50.6% by Centamin weighed most heavily on the gold sector. The stock closed at 43 cents, while rival Barrick Gold slid 2% to $33.86, and Kirkland Lake Gold slumped 15.3% to $6.60.
Among metals and mining – another of the hard-hit sectors – Major Drilling Group faded 3.3% to $9.48.
Research In Motion Ltd. continued its winning streak, rising 3.7% to $13.63– with the latest gain following news that the U.S. Immigration and Customs Enforcement will participate in a pilot program for the new BlackBerry 10, easing concerns that institutional clients are abandoning BlackBerry devices.
From its low in September, RIM shares have now rebounded nearly 125%.
In the economic docket, Statistics Canada’s new housing price index rose 0.2% in October, fairly consistent with similar increases throughout the year.
ON BAYSTREET
The TSX Venture Exchange dipped 11.35 points to 1,173.59
All but three of the 14 Toronto subgroups were lower on the day. Gold plummeted 2.5%, while materials were off by 1.9%, and metals and mining stocks were 0.8% weaker.
The three gainers were information technology, up 1.4%, telecoms, up 0.6%, and industrials, inching up 0.2%.
ON WALLSTREET
U.S. stocks fell Thursday as uncertainty over the nation's fiscal policy trumped upbeat economic data and moves by global central banks.
The Dow Jones Industrials slipped 74.73 points to end Thursday at 13,170.70
The S&P 500 fell 9.03 points to 1,419.45, while the Nasdaq Composite Index moved lower 21.65 points to 2,992.16
On the corporate front Thursday, shares of Best Buy surged following a report that said the company's founder Richard Schulze will make an offer to purchase the electronics company by the end of the week.
Swiss banking giant UBS could face a fine of $1 billion U.S. to settle charges it manipulated a key interest rate, according to several news reports, citing unnamed sources.
Sprint has offered to buy the 49% of wireless broadband provider Clearwire it doesn't already own, according to a regulatory filing.
CVS Caremark shares were higher after the company boosted its quarterly dividend, announced a $4-billion U.S. share buyback and raised its 2013 outlook.
Pier 1 Imports also upped its dividend and announced a share repurchase program of $100 million U.S. The home furnishings retailer also reported better-than-expected third-quarter earnings and sales, and lifted its forecast for the year.
Hovnanian reported a net loss of 59 cents U.S. per share in the third quarter, although the homebuilder said it made a profit, excluding various charges, for the first time in 25 quarters.
The data came as investors ponder the latest monetary policy moves.
The Federal Reserve, along with four other central banks, extended an existing policy that makes it cheaper for banks around the world to borrow U.S. dollars -- a staple of global financial transactions -- through February 2014. Previously, the policy was set to expire in February 2013.
The moves follows the Fed's announcement Wednesday to extend its bond buying program and to maintain low rates until the unemployment rate falls to 6.5% or inflation exceeds 2.5% a year. The move was widely expected, and U.S. stocks closed lower Wednesday as investors shrugged it off.
Meanwhile, investors returned their attention to fiscal cliff negotiations, as House Speaker John Boehner and Republican members of Congress gave investors few reasons to be optimistic that lawmakers are close to a deal.
Economically speaking, U.S. initial jobless claims fell more than expected during the latest week, while retail sales bounced back in November. Producer prices fell 0.8% last month.
Treasury prices on the 10-year note lost more ground, raising the yield to 1.73% from Wednesday’s 1.70%. Treasury prices and yields move in opposite directions.
Oil prices eased 64 cents a barrel to $86.83 U.S.
Gold prices dumped $19.60 an ounce to $1,698.30 U.S.
