Canada Stocks Fall as Oil, Gold Decline Amid Greek Debt TalksEric Lam
Canadian stocks fell, erasing a three-day advance, as crude and gold prices declined amid a standoff in Greek debt talks and speculation OPEC will refrain from cutting its production targets.
MEG Energy Corp. and Bellatrix Exploration Ltd. dropped more than 4.8 percent as crude slid to a seven-week low. Barrick Gold Corp. lost 2.1 percent as gold retreated. Teck Resources Ltd. and First Quantum Minerals Ltd. tumbled at least 2.9 percent as copper slumped with base metals.
The Standard & Poor’s/TSX Composite Index fell 135.29 points, or 0.9 percent, to 15,019.39 at 4 p.m. in Toronto. The benchmark equity gauge had risen 0.9 percent in the previous three trading days.
Raw-materials and energy producers sank at least 1.2 percent. All 10 industries in the S&P/TSX retreated on trading volume 9.1 percent lower than the 30-day average.
OceanaGold Corp. lost 4.2 percent and Centerra Gold Inc. slipped 5.1 percent. Gold for August delivery tumbled 0.8 percent to settle at $1,175.20 an ounce in New York, a four-week low. Copper dropped to the lowest in six weeks as industrial metals from aluminum to zinc retreated on concern slowing economic growth from China to U.S. will curb demand.
The Organization of Petroleum Exporting Countries is forecast to keep its output target unchanged on Friday, according to all but one of 34 analysts and traders in a Bloomberg survey last month.
The International Monetary Fund urged the Federal Reserve to delay raising interest rates until the first half of 2016 as it cut its U.S. growth forecast to 2.5 percent this year.
Negotiations over Greece’s debt continued, with the country becoming the first to defer a payment to the IMF since the 1980s. The first of four payments was originally due this Friday and totals almost 1.6 billion euros ($1.78 billion) this month. The latest round of talks, between Greek Prime Minister Alexis Tsipras and European Commission President Jean-Claude Juncker, failed to yield a breakthrough.
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