Canada Stocks Fall as Gold Producers Drag Miners LowerGerrit De Vynck
Canadian stocks fell, halting a six-day rally that pushed the benchmark gauge to a record, as gold stocks led a gauge of materials producers lower.
China Gold International Resources Corp. and OceanaGold Corp. fell at least 9 percent. Performance Sports Group Ltd. gained 4.4 percent after announcing a $110 million stock offering.
The Standard & Poor’s/TSX Index lost 3.25 points, or less than 0.1 percent, to 15,108.97 at 4 p.m. in Toronto. The benchmark added 0.7 percent in the past five days for a third weekly advance. It has gained 11 percent this year.
Inflation topped the Bank of Canada’s target in May for the first time in more than two years. The consumer price index rose 2.3 percent last month from a year ago, Statistics Canada said. The Canadian dollar rose to its strongest since January.
China Gold declined 12 percent to C$3.06 and OceanaGold dropped 9 percent to C$3.24. Gold and silver futures rose today, capping the biggest weekly rallies in four months.
Performance Sports Group gained 4.4 percent to C$17.75. The company, formerly known as Bauer Performance Sports, said it would use the offering to pay down debt.
Holloway Lodging Corp. lost 3.8 percent to C$4.33 after a unit of Midland Resources Holding Ltd. sold its stake in Holloway.
BlackBerry Ltd. rose 6.8 percent to C$10.51 after Citron Research predicted a new strategy unveiled yesterday by Chief Executive John Chen would cement the company’s comeback.