CANADA STOCKS-Bombardier, bank shares pull TSX lower

Reuters

* TSX falls 19.67 points, or 0.14 percent, to 13,752.91 * Five of the 10 main index sectors decline * Bombardier drops after CSeries delay * Saputo climbs on progress in battle for Warrnambool By John Tilak TORONTO, Jan 16 (Reuters) - Canada's main stock index slipped on Thursday after reaching a 2-1/2-year high the previous session as drops in Bombardier Inc and in shares of financial-services companies weighed on the market.

Bombardier said it will delay putting its new narrow-body CSeries jet into commercial use by at least nine months, citing a longer-than-expected test phase.

Investors also tracked a report showing that the number of Americans filing new claims for unemployment benefits dropped for a second week last week, while separate data indicated U.S. consumer prices posted their biggest gain in six months in December.

"Overall the markets are consolidating. The focus now is turning to the earnings season," said Colin Cieszynski, senior market analyst at CMC Markets Canada.

"There's no real direction," he added. "There's pretty much an impasse between the bears and the bulls." The Toronto Stock Exchange's S&P/TSX composite index was down 19.67 points, or 0.14 percent, at 13,752.91.

"I'm generally positive on the TSX," Cieszynski said. "If we start to see the global economy improve and demand for resources improve, that could certainly help Canada." Five of the 10 main sectors on the index were in the red.

Financials, the index's most heavily weighted sector, lost 0.4 percent. Bank of Nova Scotia declined 0.5 percent to C$63.41, and Toronto-Dominion Bank shed 0.3 percent to C$97.34.

Bombardier gave back 6.9 percent to C$4.21, helping drag the index's industrial sector down 1.2 percent.

In other corporate news, Australia's Bega Cheese Ltd said it will sell its 18.8 percent stake in Warrnambool Cheese and Butter Factory Co Holdings Ltd to Saputo Inc . The news drove Saputo shares up 1.1 percent to C$51.49.

View Comments (0)

Recommended for You