MW: Canadian stocks sink lower as miners struggle for gains
By Liana B. Baker, MarketWatch
SAN FRANCISCO (MarketWatch) -- Canadian stocks tumbled on Friday, following Wall Street's lead and ending the week at the lowest level in more than six weeks.
The S&P/TSX (CA:ISPTX 11,343, -125.67, -1.10%) composite index fell 1.1%, or 125 points, to 11,343, the lowest close since Dec. 9.
The benchmark index was down 3% from last week. On Wall Street, the Dow Jones Industrial Average had a three-day plunge of 552 points caps, its worst week since Feb. 2009.
Gold futures finished the week 2.4% lower on Friday, slumping to their lowest level in a month. Gold for February finished down $13.50, or 1.2%, at $1,089.70 an ounce.
The index measuring the mining-and-metals sector (CA:ITTMN 1,051, -2.80, -0.27%) had a mixed performance.
Gold-mining companies rebounded modestly from sharp losses on Thursday. New Gold (CA:NGD 4.46, +0.21, +4.94%) was up 4.9%. Shares of Yamana Gold (CA:YRI 11.36, +0.07, +0.62%) gained 0.6% and Goldcorp (CA:G 39.03, +0.21, +0.54%) rose 0.5%.
Red Back Mining Inc. (CA:RBI 16.79, -0.14, -0.83%) fell 0.8% and Teck Resources (CA:TCK.A 40.12, -0.09, -0.22%) , which gained for the first half of the day, declined 2.4%. Silver Wheaton Corp. (CA:SLW 15.70, -0.14, -0.88%) fell 0.9%. Equinox Minerals Ltd. (CA:EQN 3.83, +0.18, +4.93%) rose 4.9%.
Oil futures finished the week 4.7% lower to close below $75 a barrel Friday, as concerns over weaker energy demand persisted, fueled in part by concerns that China might slow its growth. Crude oil for March delivery finished Friday's session down $1.54, or 2%, at $74.54 a barrel on the New York Mercantile Exchange. See more on oil futures
The index measuring the Canadian energy sector (CA:IRTEN 141.03, -1.88, -1.32%) fell 1.3%.
Among financials, Royal Bank of Canada (CA:RY 52.88, -1.82, -3.33%) declined 3.3%.
The Canadian market was also rattled by U.S. declines in major averages gathered some steam in late afternoon as President Barack Obama spoke at a town hall meeting regarding his plan to impose tougher limits on big banks' speculative activity. His proposal fueled a 213-point slide in the Dow when it was unveiled on Thursday and continued to be a hot topic among investors during the latest trading session.
Investors also weighed reports that some congressional Democrats are growing skittish about confirming Ben Bernanke to a second term as Fed chairman.
The Canadian dollar weakened for a fifth day, with the U.S. dollar buying C$1.058, up about 0.8%.
