Commodity prices weigh on TSX
TORONTO (Reuters) - Toronto's main stock index fell more than one percent yesterday as retreating commodity prices weighed on the resource-heavy market and as investors took profits following last week's big gains.
The energy group led all sectors lower, falling 3.1 percent as US crude oil backed off a six-month high to slightly above $58 a barrel.
The materials group was off 0.73 percent as June gold softened to $913.50.
Financials also weighed on the market, falling 1.5 percent, as Canadian banks retreated along with US lenders.
News of several bank share offerings in the US heightened worries about the dilutive impact on the still-fragile US sector.
The Toronto Stock Exchange's S&P/TSX composite index finished the session down 143.85 points, or 1.41 percent, at 10,094.14, following the index's 7.8 percent gain last week.
"I think it's really being triggered by lower oil prices and the issuance of bank shares in the States. But overall it's not too surprising given the extraordinary gains we've seen in the last couple of months," said Kate Warne, Canadian market strategist at Edward Jones in St. Louis, Missouri.
EnCana led the decliners, sagging 3.6 percent to C$63.04, while Suncor Energy lost 2.76 percent to C$36.23.
Among financials, Manulife Financial shed 2.35 percent to C$23.24, and Sun Life Financial dropped 5.28 percent to C$27.99.
Nine of the TSX's 10 main groups ended lower.
Earlier, the index tumbled more than two percent to as low as 9,995.82.