Canadian Stocks End Six-Day Winning Streak Amid Growth ConcernLeslie Picker
Canadian stocks fell for the first time in seven days, led by health-care companies and commodity producers, after the World Bank cut its global growth forecast.
CML Healthcare Inc. slid 4.3 percent as the company said it will sell its diagnostic imaging business. Labrador Iron Ore Royalty Corp. and Taseko Mines Ltd. declined at least 3 percent. Research In Motion Ltd. rose 2 percent after the BlackBerry 10 maker said more than 1,600 businesses have registered for a training program for the new handsets and software.
The Standard & Poor’s/TSX Composite Index slid 33.15 points, or 0.3 percent, to 12,608.82 at 4 p.m. in Toronto. The index has risen 1.4 percent this year. Trading volume was 9.1 percent lower than the 30-day average.
“Whenever people say global growth is a bit weaker, the knee jerk reaction is to take a little bit out of those spaces,” Michael O’Brien, who oversees $3 billion as a fund manager at TD Asset Management in Toronto, said in a phone interview. “Markets are just deciding to take a breather.”
The World Bank cut its global growth forecast for this year as austerity measures, high unemployment and low business confidence weigh on economies in developed nations. The Washington-based bank yesterday projected the world economy will expand 2.4 percent, down from a June forecast of 3 percent, after growing 2.3 percent in 2012.
CML Healthcare lost 4.3 percent to C$6.92, as the company said it held preliminary talks with prospective buyers for its diagnostic imaging business.
Mining companies declined as copper retreated to a two-week low. Labrador Iron Ore declined 3.2 percent to C$33.28. Taseko Mines, which produces copper and molybdenum, lost 4.4 percent to C$3.25 for the biggest drop in the S&P/TSX.
Copper for delivery in March lost 0.6 percent to $3.6233 a pound.
Rio Alto Mining Ltd., the developer of the La Arena copper and gold mine in Peru, surged the most since June 1 after regulators in the country approved it as an investment for domestic pension funds. Rio Alto Mining Ltd. climbed 5.5 percent to C$5.52.
RIM advanced 2 percent to C$14.55. Of the registered customers, more than 1,000 have already begun using the BlackBerry 10 Ready program since its introduction in early December, Nick Manning, a RIM spokesman, said in an e-mail.