Stocks in Canada’s largest market fell yet again on Monday as resource stocks weighed, with oil and metal prices down amid worries about China and broad uncertainty about global demand.
The S&P/TSX composite index dropped 131.04 points, or 1.1%, to greet noon at 12,314.41, threatening to extend an eight-session losing streak.
The Canadian dollar settled 0.14 cents to 70.42 cents U.S.
Major oil and gas producers were among those suffering the deepest losses. Canadian Natural Resources fell 3.6% to $26.33, and Suncor Energy declined 1.5% to $32.74.
Suncor said on Friday that it had extended its hostile bid for Canadian Oil Sands Ltd until Jan. 27.
The energy group is at its weakest since 2003 as oil prices hover around 12-year lows.
The materials group, which includes precious and base metals miners and fertilizer companies, lost ground as copper prices hit their lowest since 2009. First Quantum Minerals Ltd declined 7.1% to $3.94.
Copper prices declined 1.7% to $4,407 U.S. a tonne.
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 slid 2.65 points to 512.02
All but three of the 13 TSX subgroups were lower, as metals and mining tumbled 7.2%, health-care was off 3.8%, and materials sank 3%.
The three gainers were co-led by real-estate and telecoms, each up 0.4%, as utilities gained 0.3%.
ON WALLSTREET
U.S stocks traded mostly lower Monday, struggling to stabilize after posting their worst week since 2011, as declines in commodity prices weighed.
The Dow Jones industrial average was higher 49.21 points by noon to 16,395.66, with Caterpillar leading decliners and Home Depot the greatest advancer.
The S&P 500 ducked lower 0.7 points to 1,921.33. Materials was among the greatest decliners in the S&P 500 as Freeport-McMoRan briefly fell more than 19% in late-morning trade.
The NASDAQ index was negative 6.76 points to 4,636.87. Apple 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.
Alcoa is scheduled to report earnings after the bell, ahead of major financial firms' results due later in the week.
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 2.15% from Friday’s 2.13%. Treasury prices and yields move in opposite directions.
Oil prices slid $1.52 a barrel to $31.64 U.S.
Gold prices faltered $5.99 to $1,098.16 U.S. an ounce.
