A slide in oil prices – one that doesn’t seem ready to end soon – made for a lower opening for equities in Toronto Friday
The S&P/TSX composite index dropped 93.78 points to begin Friday at 13,811.34
The Canadian dollar dumped 0.27 cents to 86.52 cents U.S.
Bank of Canada Governor Stephen Poloz says he does not foresee the sort of sharp rise in joblessness or mortgage rates that would trigger a major housing market correction.
BRP Inc, the maker of Ski-Doo snowmobiles and Sea-Doo watercraft, cut its full-year earnings and revenue forecast, saying it expected a weak ruble to hit sales in Russia. BRP shares tumbled $2.66, or 10.5%, to $22.75.
NBF cut the rating on Industrial Alliance to sector perform from outperform and the target price to $48 from $50. IAG shares dropped $1.81, or 4.1%, to $42.89.
KBW cut the target price on Canaccord Genuity to $9.00 from $11.00. Canaccord stock dropped 73 cents, or nearly 10%, to $6.60.
ON BAYSTREET
The TSX Venture Exchange fell 6.18 points to 657.32.
All but two of the 14 Toronto subgroups were lower in the first hour of trading, as metals and mining lost 1.5%, while telecoms and materials each fell 1.2%.
Consumer staples inched up 0.8% while real-estate stocks were treading the water. So much for the gaining groups.
ON WALLSTREET
U.S. stocks declined on Friday, with benchmark indexes headed for sizable weekly losses, as crude's slide continued and after Chinese industrial production came in below expectations.
The Dow Jones Industrials settled 75.91 points to open Friday at 17,520.43, with International Business Machines leading blue-chip losses that extended to 19 of 30 components.
The S&P 500 slid 9.85 points to 2,025.48, with energy falling the most among its 10 major industry groups.
The NASDAQ index dipped 13.50 points to 4,694.66.
Stocks only briefly trimmed losses after a measure of consumer sentiment in December exceeded expectations, rising to an eight-year high.
Adobe Systems gained after the software maker said it would acquire stock-photo company Fotalia for $800 million U.S. and posted quarterly results that beat expectations.
U.S. wholesale prices declined 0.2% drop in the producer price index in November after a 0.2% rise the previous month.
Oil prices fell further after the International Energy Agency reduced its outlook for global demand.
Equities around the globe dropped after November Chinese factory production slowed more than forecast.
Prices for 10-year U.S. Treasuries gained ground, lowering yields to 2.13% from Thursday’s 2.18%. Treasury prices and yields move in opposite directions.
Oil prices fell $1.43 per barrel to $58.52 U.S.
Gold prices slid $4.20 an ounce at $1,221.40 U.S.
