Equities in Canada’s biggest market fell on Monday as oil prices resumed their downward spiral and weak economic data out of Europe and China aggravated concerns about a global slowdown.
The S&P/TSX composite index sagged 185.82 points, or 1.5%, to approach noon at 12,636.31.
The Canadian dollar docked 0.17 cents to 71.41 cents U.S.
The index's energy group retreated, with pipeline operator Enbridge Inc off 3.4% at $4.00, Suncor Energy Inc falling 3.5% to $32.02, and Canadian Natural Resources losing 4.3% to $28.71.
The most influential movers on the index also included Royal Bank of Canada, which fell 2% to $71.11, and Canadian National Railway, which declined 3.5% to $73.29.
Shares in online gambling company Amaya Inc surged 26% to $18.90 after it said its CEO had offered to buy the company for about $21.00 a share.
Royal Nickel Corp shares jumped 9% after announcing two cash-and-stock acquisitions that transform the mine developer into a cash-generating nickel, copper and gold producer.
China's manufacturing activity contracted at its fastest pace in almost three and a half years in January, suggesting the world's second-largest economy was off to a weak start in 2016.
Manufacturing growth also slowed in the euro-zone at the start of 2016.
On the economic beat, the seasonally-adjusted RBC Canadian Manufacturing Purchasing Managers' Index registered 49.3 last month, up from December’s 47.5, but still below the 50 threshold for the sixth straight month.
ON BAYSTREET
The TSX Venture Exchange eked up 0.42 points, to 499.94
All but three of the 13 TSX subgroups were negative by midday, with energy losing 3.6% of its momentum, metals and mining weakening 2.9%, and industrials off 2%.
The three gainers were gold, up 1.3%, telecoms, ahead 0.6%, and health-care, up 0.4%.
ON WALLSTREET
U.S. stocks traded lower Monday, weighed by declines in oil prices and continued softness in manufacturing data.
The Dow Jones industrial average came off its lows of the morning, but remained negative 79.89 points by noon to 16,386.41, with 3M, Exxon Mobil and Chevron the greatest weights on the Dow. Nike was the top contributor to gains.
The S&P 500 pointed downward 6.72 points to 1,933.52
The NASDAQ index slumped 20.59 points to 4,593.36
Monday brings more major earnings reports, including Google's parent company Alphabet after the close.
In morning quarterly reports, Aetna earned an adjusted $1.37 U.S. per share for its latest quarter, 16 cents above estimates, with revenue also beating forecasts.
The health insurer was helped by improved membership numbers and margins in its Medicare business. However, it is also projecting full-year 2016 earnings of $7.75 U.S. per share, shy of estimates of $8.05 a share.
Cardinal Health posted earnings that beat on both the top and bottom line, helped by factors such as growth in its customer base and solid fundamentals.
Facebook extended recent gains to hit a fresh intraday record high. The social media giant reported earnings last week that blew past estimates.
Economically speaking, Markit's U.S. Manufacturing PMI for January came in at 52.4, a touch below the flash read but above December's final 51.2 print.
Earlier, personal income for December showed a 0.3% increase. Consumer spending was unchanged for the month, while November spending was revised higher to 0.5%.
Excluding food and energy, prices were unchanged after nicking up 0.2% in November,
Oil fell, under pressure from weak economic data from China and news that an OPEC source played down talk of an emergency meeting.
Overnight, China's official manufacturing Purchasing Managers’ Index for January fell to 49.4, the weakest read since August 2012 and marking a six-straight month of contraction. The official non-manufacturing PMI fell to 53.5 in January from 54.4 the prior month.
Prices for the 10-year Treasury lost ground, raising yields to 1.96% from Friday’s 1.93%. Treasury prices and yields move in opposite directions.
Oil prices sank $1.59 a barrel to $32.03 U.S.
Gold prices leaped $8.04 to $1,126.25 U.S. an ounce.
