Markets in Toronto threatened to lengthen their losing streak, as weakening in crude oil prices weighed on energy stocks.
The S&P/TSX composite index began the week down 23.24 points to 12,422.21, hoping to break an eight-session losing streak.
The Canadian dollar was up 0.35 cents to 70.91 cents U.S.
Onex Corp and its affiliate Onex Group said on Sunday they sold KraussMaffei Group, a German plastics processing machinery maker, to China National Chemical Corp for a cash enterprise value of 925 million euros.
According to the deal, Onex Group will receive proceeds of about 670 million euros, while Onex Corp will get 180 million euros, including carried interest of 12 million euros.
Onex fell 13 cents to $83.67 at the start of Monday’s session.
Suncor Energy Inc said on Friday it had extended its hostile bid for Canadian Oil Sands Ltd until Jan. 27. Suncor needs to secure at least two-thirds support from shareholders to succeed in the bid, which comes against a backdrop of tumbling global crude oil prices that slid to a 12-year low.
In a statement on Friday, Canadian Oil Sands said it wanted its shareholders to take no action on Suncor's bid, reiterating its view that it is undervalued by the bid.
Suncor shares stepped back 46 cents, or 1.4%, to $32.79, while Oil Sands shares inched ahead three cents to $7.50.
NBF cut the rating on Copper Mountain Mining to sector perform from outperform as the balance sheet stress alleviated under higher copper prices.
Copper Mountain shares shaved off a cent, or 2.5%, to 39.5 cents.
National Bank Financial cut the rating on First Quantum Minerals to sector perform as the company is expected to require covenant relief is immediate, completion of non-core asset sales required under difficult market conditions.
First Quantum shares plummeted 31 cents, or 7.3%, to $3.93.
On the economic front, Canada Mortgage and Housing Corporation reported that the seasonally-adjusted annualized rate of housing starts fell to 172,965 units in December from an upwardly revised 212,028 units in November, and way below the forecast 200,000 starts.
ON BAYSTREET
The TSX Venture Exchange gained 0.13 points to 514.80
Nine of the 13 TSX subgroups were lower at first Monday, with metals and mining sliding 4%, energy weakening 2.3%, and materials down 1.3%.
The four gainers were co-led by utilities and real-estate, each up 0.3%, while telecoms inched up 0.2%.
ON WALLSTREET
U.S stocks traded in a range Monday, struggling to follow European equities higher as the Chinese yuan stabilized.
The Dow Jones industrial average was higher 36.47 points to 16,382.92. In the first hour, Nike led advancers and DuPont proved the greatest laggard.
The S&P 500 eked up 1.23 points to 1,923.26. Health care, materials and energy were among the decliners in the S&P 500.
The NASDAQ index was positive 4.63 points to 4,648.26. Apple briefly gained 1.5% in morning trade after news the firm's Apple Music service surpassed 10 million subscribers. Separately, Mizuho upgraded the stock to buy from neutral.
U.S. stocks closed sharply lower Friday, ending the first trading week of the year with losses of nearly 6% or more, their worst week since 2011. The Dow and S&P 500 had their worst start to a year in history.
Prices for the 10-year Treasury fell, raising yields to 2.17% from Friday’s 2.13%. Treasury prices and yields move in opposite directions.
Oil prices sank 66 cents a barrel to $32.50 U.S.
Gold prices faltered $3.65 to $1,100.50 U.S. an ounce.
