Canada Stocks Fall Fifth Day as Magna, Materials Producers DropEric Lam
S&P/TSX pares losses as oil producers reverse earlier decline
Global markets were little changed after worst rout in decades
Canadian stocks fell a fifth day, the longest streak of losses since November, as declines among retail and raw material companies offset a rebound in energy producers.
The Standard & Poor’s/TSX Composite Index dropped 7.01 points to 12,920.14 at 4 p.m. in Toronto, paring earlier losses of as much as 0.7 percent. The gauge had its worst opening day yesterday since 2005.
Magna International Inc., the largest North American auto-parts supplier, fell a sixth straight day after U.S. automakers Ford Motor Co. and General Motors Co. tumbled in New York after missing December sales estimates.
Fertilizer maker Potash Corp. of Saskatchewan Inc. dropped 2.4 percent to lead raw-materials producers lower. Industrial shares also fell. Canadian National Railway Co. fell 1.3 percent and struggling airplane manufacturer Bombardier Inc. dropped 2.2 percent.
Energy stocks reversed losses in the final hour of trading. Canadian Natural Resources Ltd. added 2.1 percent and Encana Corp. increased 3.7 percent. Oil fell to a two-week low, holding losses below $37 a barrel in New York ahead of U.S. government supply data Wednesday forecast to be little-changed, according to a Bloomberg survey.
Valeant Pharmaceuticals International Inc. rose 2.8 percent. Shares had lost 3.2 percent in the last two trading sessions after a regulatory filing on Thursday showed Bill Ackman, the activist investor who has been a staunch defender of Valeant, trimmed his fund’s holdings of the stock for tax reasons. Ackman’s Pershing Square Capital Management sold about 5 million shares of Valeant in order to create a tax loss for investors in two accounts.