Canadian Stocks Drop to Three-Week Low as Energy Shares RetreatEric Lam
Canadian stocks fell to the lowest level in three weeks as energy shares followed losses in oil.
Bankers Petroleum Ltd. and Legacy Oil & Gas Inc. declined more than 2.2 percent as crude in New York dropped to the lowest in eight months. AuRico Gold Inc dropped 5.6 percent for the biggest loss in the Standard & Poor’s/TSX Composite Index.
The S&P/TSX fell 64.92 points, or 0.4 percent, to 15,471.89 at 4 p.m. in Toronto. The gauge has dropped in four of the past five days and fallen 1.2 percent since a record on Sept. 3. Trading volume was 5.7 percent below the 30-day average at this time of day.
Bankers Petroleum sank 2.2 percent to C$5.69 and Legacy Oil & Gas slumped 3.2 percent to C$6.92 to pace declines among energy producers. Brent traded below $100 a barrel for a third day and West Texas Intermediate fell 1.2 percent in New York to settle at $91.67 a barrel.
OPEC cut forecasts for the amount of crude it will need to pump by the most in three years as surging U.S. output reduces reliance on the group’s barrels. Crude prices are poised to drop next year as American production climbs to a 45-year high, the Energy Information Administration said yesterday.
AuRico Gold declined 5.6 percent to C$4.20 and Torex Gold Resources Inc. tumbled 4.8 percent to C$1.58 as gold futures for December delivery fell to a three-month low.