* TSX closed down 13.86 points, or 0.1 percent, at 12,076.03
* Index weighed by bickering in Europe
* Financials and energy sectors negative to start week
By Alastair Sharp
TORONTO, Aug 20 (Reuters) – Canada’s main stock index dipped
lower on Monday, pulled down by shifting signals about the
European Central Bank’s plans to tackle the region’s sovereign
Two of the three most influential sectors — financials and
energy — were pushed down i n uninspiring trade a fter two weeks
of gains on a string of positive North American data.
“All the stuff that’s been hanging around for several
months, it seems like years, none of that’s gone away,” said
Pa ul Hand, managing director at RBC Capital Markets.
Germany’s central bank repeated its criticism of the ECB’s
bond-buying program, while the ECB sought to quash press
speculation about the shape of the plan, saying decisions had
not yet been taken.
The Toronto exchange ended last week above 12,000 for the
first time since early May, but investors didn’t push it any
higher to start the new week.
“There’s all this talk of the market at highs, but it sure
doesn’t look like it’s engendering much enthusiasm if you look
at the volumes today,” he added.
Preliminary Reuters data showed that barely 100 million
shares changed hands, well down from average volumes.
The third heavyweight sector, materials, was helped by a 1.2
percent gain from Barrick Gold, which closed as the
exchange’s biggest positive influence at C$36.01.
The biggest weight was Royal Bank of Canada, which
slipped 0.9 percent to C$53.52 after four straight sessions of
strong gains, while Toronto Dominion Bank also dragged, down 0.6
percent at C$80.72.
Fertilizer company Potash Corp also dragged the index down,
slipping 1 percent to C$43.2 3.
The Toronto Stock Exchange’s SP/TSX composite index
unofficially closed down 13.86 points, or 0.1 percent,
“The tone has weakened…again because of Europe, which is
the traditional spoiler whenever we seem to get a bit of
momentum going,” said Andrew Pyle, a portfolio manager at
Any signs of weakness in global growth hits the Toronto
exchange hard, as it lists an abundance of resource-related
The chief executive of Caterpillar, the world’s
largest maker of construction equipment, said the global
economic outlook is more uncertain now than at the start of the
financial crisis in late 2008.