Canadian stocks fell for the first time in three days as raw-material producers dropped after Teck Resources Ltd. missed analysts’ average earnings forecast.
The S&P/TSX composite index subtracted 108.22 points to close at 13,784.30
The Canadian dollar gained 0.15 cents to 100.6 cents U.S.
Teck, Canada’s largest base-metals and coal producer, declined 8.3% to $57.95 after profit fell 20% short of the average estimate. Barrick Gold Corp. lost 1.6% to $47.61, as gold fluctuated and other precious metals fell.
TMX Group Ltd., owner of the Toronto Stock Exchange, surged 6.4% to $42.85, after agreeing to be bought by London Stock Exchange Group Plc.
First Quantum Minerals Ltd., Canada’s second-largest publicly traded copper producer, declined for the first time in eight days, decreasing 5.5% to $129.75.
Talisman Energy Inc., which produces oil and gas in North America, the North Sea and Indonesia, lost 2.3% to $22.60. TransCanada Corp., the owner of Canada’s largest pipeline system, decreased 1.1% to $37.79.
Niko Resources Ltd., an oil and gas company with operations in South Asia, retreated 12.8% to $81.75 after missing analysts’ third-quarter profit estimate by 10%, excluding certain items.
Intact Financial, Canada’s largest property and casualty insurer, slumped 4.7% to $48.91 after trailing analysts’ average fourth-quarter profit estimate by 22%, excluding certain items.
Sierra Wireless, which makes wireless-communications products, sank 26.2%, the most since 2008, to $11.37 after missing analysts’ average fourth-quarter profit estimate by 32%, excluding certain items. The company said it may have a loss of as much as six cents a share in the first quarter.
Agrium, Canada’s second-largest fertilizer producer, advanced 3% to $95.65, the highest since July 2008, after topping analysts’ average earnings estimate by 20%
WestJet, Canada’s largest airline by market value, jumped 11.8% to $14.76 after reporting quarterly earnings of 33 cents a share excluding some items, two times the average analyst forecast.
Air Canada, the biggest airline by revenue, rose for a fifth day, advancing 2.1% to $3.40.
Cameco Corp., the world’s second-biggest uranium producer, rose 2.9% percent to $42.09, after Anthony Young, an analyst at Dahlman Rose & Co., began coverage of the company with a "buy" rating.
Demand for uranium will increase due to construction of nuclear power plants in China, Russia and India, Young said in a note to clients.
ON BAYSTREET
The TSX Venture Exchange slid 27.11 points to 2,353.77, while the Nasdaq Canada index corrected 4.54 points to 787.02.
In Toronto, all but three of the 14 subgroups were negative, weighed by metals and mining, off 4.2%, global base metals, sliding 3.1% and materials, falling 1.9%.
The gainers were limited to information technology and health-care issues, moving 0.6% higher each, and consumer staples, forging ahead 0.3%.
ON WALLSTREET
In New York, stocks stumbled Wednesday, as investors took a breather following seven consecutive days of gains that sent the Dow industrials to their highest level in over two years.
The Dow Jones Industrials found itself into the green, barely, by 6.74 points to 12,239.90.
The S&P 500 index gave back 3.69 points to 1,320.88. The tech-rich Nasdaq Composite Index fell off 7.98 points to 2,789.07.
Energy and financial companies were among the biggest laggards. JPMorgan Chase, Chevron and Exxon Mobil were among the Dow's biggest losers. Meanwhile, drops in shares of Southwestern Energy Co, Cliffs Natural Resources and Wells Fargo weighed on the S&P 500.
Shares of NYSE Euronext -- the parent company of the New York Stock Exchange -- jumped 15% after the company confirmed that it is in advanced merger talks with Germany's Deutsche Boerse.
Polo Ralph Lauren's stock rallied 9%, after the retailer delivered a $168.4-million U.S. profit -- thanks to solid holiday season sales.
Shares of Walt Disney added 5%, a day after the media conglomerate posted upbeat quarterly earnings.
Computer Sciences plunged 15% after the information-technology company missed revenue estimates and lowered its forecast for the year.
Shares of Wells Fargo fell 3.4% after the bank announced late Tuesday that chief financial officer Howard Atkins is retiring. The company said the retirement wasn't due to Wells' financial condition or reporting.
Cisco Systems will report quarterly results after the closing bell.
Investors directed their attention to Capitol Hill, as Bernanke testified Wednesday morning before the House Budget Committee. The central bank chairman said that despite a strengthening economic recovery, the unemployment rate remains high while inflation is "still quite low."
Bernanke also told lawmakers that they need a "credible program" to reduce the nation's growing deficit.
Also on the economic calendar, investors will be keeping an eye out for a proposal due Friday from the Obama administration recommending a phase-out plan for Fannie Mae and Freddie Mac, two government-sponsored mortgage backers.
The highly-anticipated "white paper" will include three different options for reducing the role government plays in the mortgage market, according to a White House official.
Treasury Secretary Tim Geithner offered an optimistic economic outlook Wednesday, although he acknowledged that the job market will take time to recover.
The price on the benchmark 10-year U.S. Treasury jumped, lowering the yield to 3.64% from Tuesday’s 3.72%. Treasury prices and yields move in opposite directions.
Oil for February delivery tacked on two cents to $86.96 U.S. a barrel.
Gold futures for April delivery rose $1.40 to $1,365.50 U.S. an ounce.
