Canadian Stocks Retreat for Third Day, Led by BlackBerry Shares

Canadian stocks fell, capping the biggest three-day retreat in over a month, as shares of Smart Technologies Inc. and BlackBerry Ltd. dropped and data showed an unexpected decline in U.S. consumer confidence.

BlackBerry fell 1.9 percent after the smartphone maker said yesterday Bert Nordberg, a former chief executive officer of Sony Ericsson Mobile Communications, was leaving the board. Air Canada rose 2 percent after TD Securities Inc. recommended buying the shares. Smart Technologies lost 37 percent after reporting a fourth-quarter loss.

The Standard & Poor’s/TSX Composite Index fell 74.15 points, or 0.5 percent, to 14,514.74 at 4 p.m. in Toronto. Eight out of 10 industries in the index fell. The gauge fell 0.1 percent this week.

“What people are doing is de-risking ahead of some uncertainty on U.S. economic growth and the state of the consumer,” said Brian Huen managing partner at Red Sky Capital Management Ltd in Toronto. He helps manage about C$350 million.

Consumer confidence fell in May from a nine-month high, showing Americans are being shaken by rising grocery bills and elevated fuel costs. The Thomson Reuters/University of Michigan preliminary sentiment index decreased to 81.8 from 84.1 in April. The median projection in a Bloomberg survey of economists called for a gain to 84.5.

BlackBerry fell 1.9 percent to C$7.88. The rest of the current directors, including chairman Prem Watsa, are standing for re-election, the company said.

Air Canada

Air Canada gained 2 percent to C$8.07 as TD Securities raised its rating on the stock. The company reported a narrower first-quarter loss yesterday than analysts projected with the help of a cost-savings plan and as revenue climbed faster than estimated.

Smart Technologies lost 37 percent to C$2.90, the most ever. The interactive whiteboard maker reported a fourth-quarter loss of 5 cents a share yesterday and said the company has significant work left in its turnaround plan.

Just Energy Group Inc. decreased 17 percent to C$6.54. National Bank Financial and TD Securities lowered their ratings on the stock and RBC Capital Markets said the utility company may cut its dividend.

Canadian Imperial Bank of Commerce dropped 1.6 percent to C$96.49 after posting a C$420 million impairment charge on its Caribbean banking business. The bank, Canada’s fifth-largest, will report second-quarter earnings on May 29.

Bellatrix Exploration Ltd. fell 1.9 percent to C$9.96 after cutting its forecast for second-quarter production.

HudBay Minerals Inc. rose 1.6 percent to C$10 after Dundee Securities Inc. said the mining company probably won’t increase its offer for Augusta Resources Corp. Augusta lost 6.2 percent to C$3.01.

Before it's here, it's on the Bloomberg Terminal.