Canada Stocks Fall as Crude, Copper Drop on U.S. Consumer Data
Canadian stocks fell, paring a sixth weekly gain, as metal and crude oil prices retreated and U.S. consumer spending unexpectedly declined in April.
Teck Resources Ltd. (TCK/B) and First Quantum Minerals Ltd. lost at least 1.4 percent as copper fell ahead of a report that may show China’s manufacturing is close to contracting. Bank of Nova Scotia slipped 0.3 percent after Chief Executive Officer Rick Waugh announced his retirement. Canadian Natural Resources Ltd. dropped 1.2 percent as crude headed for a second weekly decline. Rainy River Resources Ltd. (RR) surged 34 percent after agreeing to be acquired by New Gold Inc. for C$381.9 million ($370.4 million). New Gold plunged 8.6 percent.
The Standard & Poor’s/TSX Composite Index (SPTSX) fell 64.95 points, or 0.5 percent, to 12,681.60 at 10:22 a.m. in Toronto. The index has gained 0.1 percent this week, headed for a sixth weekly advance, the longest winning streak since February 2012.
U.S. household purchases, which account for 70 percent of the economy, dropped 0.2 percent, after a 0.1 percent rise the previous month. Economists had projected no change. The U.S. is Canada’s largest trading partner.
Canada’s economy in the first quarter grew at a 2.5 percent annualized pace, the fastest in six quarters, Statistics Canada said today from Ottawa. Economists surveyed by Bloomberg had forecast a 2.3 percent quarterly increase, the median of 24 estimates.
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