Canadian stocks fell from a record, led by losses in energy companies, amid a retreat in global equities as international pressure on President Vladimir Putin intensified.
Canyon Services Group Inc. (FRC) dropped 3.2 percent after FirstEnergy Capital Corp. lowered its rating on the stock to market perform from outperform. Valeant Pharmaceuticals International Inc. (VRX) climbed 2.9 percent after the company said it has contacted regulators concerning Allergan Inc.’s past statements about its Bausch & Lomb unit.
The S&P/TSX lost 16.58 points, or 0.1 percent, to 15,249.99 at 4 p.m. in Toronto. The benchmark Canadian equity gauge has gained 12 percent this year, the third-best performance among the world’s developed markets.
The S&P/TSX Energy Index dropped 0.2 percent. Eight of 10 industries in the benchmark equity gauge fell. Trading in S&P/TSX stocks was 17 percent below the 30-day average at the close.
Canyon Services lost 3.2 percent to C$16.94. FirstEnergy Capital also lowered its ratings on Precision Drilling Corp. and Western Energy Services Corp. Both stocks fell at least 1 percent.
Valeant advanced 2.9 percent to C$134.67. The company told the Autorite des marches financiers, Quebec’s regulators, and the U.S. Securities and Exchange Commission that Allergan has falsely asserted that Bausch & Lomb’s pharmaceutical sales were stagnating or declining, an “apparent attempt to mislead investors and manipulate the market.”
Separately, Allergan said it will cut 1,500 jobs and eliminate another 250 vacant positions as it tries to fend off a hostile takeover from Valeant.
European Union foreign ministers meeting in Brussels tomorrow will consider tougher sanctions on Russian individuals and companies as world leaders pressure Putin to do more to end the violence in eastern Ukraine.
Russian President Putin said the Malaysian airline disaster shouldn’t be used for political purposes. He again blamed the downing of the plane on the Ukraine conflict and said that international investigators, whose probe of the crash site has been hampered by armed, pro-Russian separatists, should have full access to the wreckage.
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