Canadian shares fell for a third day on Thursday as oil’s continuing decline nudged down energy producers.
The resource-heavy benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) fell 0.5 percent to 14,275.01 at 11:44 a.m. in Toronto. More than two shares declined for every issue that advanced as four out of ten share groups were in the negative territory.
Crude prices slid on Thursday as early optimism gave way under the weight of a climbing U.S. dollar and a persistent global overhang of physical oil.
The Canadian market’s energy sector dropped 2.2 percent. Suncor Energy (TSE:SU), Canada's largest oil sands producer, gave up 0.8 percent to C$37.18. Enbridge (TSE:ENB), Canada's largest pipeline company, surrendered 0.2 percent to C$55.21.
Crescent Point Energy (TSE:CPG) rose 0.5 percent to C$17.96, reversing an earlier slump. The light oil producer slashed its dividend, trimmed its capital-spending plans and posted a second-quarter loss as it continues to grapple with the slump in crude-oil prices.
U.S. crude was trading at $42.30 per barrel, down $1.
The materials sub-index, which includes mining shares, decreased 1.6 percent as gold fell nearly 1 percent. Goldcorp (TSE:G), Canada’s largest gold miner by market value, lost 3 percent to C$19.18, expanding this year’s slump to 11 percent. Barrick Gold (TSE:ABX), Canada’s second-largest gold miner, gave up 2 percent to C$10.34.
Spot gold was down 0.8 percent at $1,115.61 an ounce, while U.S. gold futures for December delivery were down $8.20 an ounce at $1,115.40.
Financials, the index's most heavily weighted sector, edged back 0.7 percent. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, retreated 0.8 percent to C$75.24. Toronto-Dominion Bank (TSE:TD), the second-largest bank by market value, sagged 1 percent to C$52.06.
Onex (TSE:OCX) fell 1.2 percent to C$73.87. The nation’s biggest buyout firm swung to a loss of C$289 million in the second quarter from a profit of C$39 million a year earlier.
Canadian Tire (TSE:CTC) inched up 0.5 percent to C$216.12. The country's largest sporting goods retailer reported higher profit and revenue in its fiscal second quarter.
Amaya (TSE:AYA) rose 2 percent C$30.97 after the gaming company which owns PokerStars and Full Tilt gaming brands agreed to acquire Houston, Texas-based studio Victiv.
In economic news, data from Statistics Canada showed on Thursday that new home prices in Canada grew by the most in nearly a year in June, driven by increases in Toronto, while prices in oil-hit Calgary climbed for the first time this year.