TSX Ends A Shade Lower On U.S. Data - Canadian Commentary

(RTTNews) - Canadian stocks snapped a two-day gain to end slightly lower Monday, on some weak macroeconomic data out of the U.S. with orders for manufactured durable goods in July declining more than expected. Nonetheless, the news also dispelled fears of an immediate pull-back on the Federal Reserves quantitative easing program in the near term.

New orders for U.S. manufactured durable goods declined much more than expected in July, a report from the Commerce Department showed Monday. The decline, which follows three consecutive months of increase, was attributed largely to a sharp pullback in orders for transportation equipment.

The S&P/TSX Composite Index closed Monday at 12,760.30, down 2.00 points or 0.02 percent. The index touched an intraday high of 12,812.58 and a low of 12,751.85. The index gained nearly 200 points in the past two sessions.

The Diversified Metals & Mining Index gained 1.02 percent, with First Quantum Minerals Ltd. (FM.TO) up 2.62 percent. Osisko Mining Corp. (OSK.TO) up 1.09 percent, Teck Resources Limited (TCK.B.TO) down 0.04 percent, and Lundin Mining Corp. (LUN.TO) adding 0.42 percent.

The Capped Materials Index jumped 1.66 percent, with Potash Corporation of Saskatchewan Inc.(POT.TO) climbing 2.39 percent.

The Global Gold Index gained 1.11 percent, although gold futures for December delivery dropping $2.70 or 0.2 percent to close at $1,393.10 an ounce Monday on the Nymex.

Among gold stocks, Kinross Gold Corp. (K.TO) gained 0.65 percent, while Yamana Gold Inc. (YRI.TO) added 0.79 percent. B2Gold Corp. (BTO.TO) gained 1.30 percent, while Goldcorp Inc. (G.TO) gathered 0.83 percent. IAMGOLD Corp. (IMG.TO) added 1.56 percent, while Barrick Gold Corp. (ABX.TO) gained 1.94 percent.

The Energy Index dropped 0.19 percent, with U.S. crude oil futures for October delivery shedding $0.5 or 0.5 percent to close at $105.92 a barrel Monday on the Nymex.

Among energy stocks, Talisman Energy Inc. (TLM.TO) slipped 0.35 percent, while Encana Corp. (ECA.TO) dropped 0.49 percent. Suncor Energy Inc.(SU.TO) dropped 0.69 percent, while Surge Energy Inc. (SGY.TO) climbed 3.87 percent.

The Financial Index dipped 0.04 percent with Bank of Montreal (BMO.TO) gaining 0.89 percent, Bank of Nova Scotia (BNS.TO) moving up 0.02 percent. Royal Bank of Canada (RY.TO) shed 0.35 percent, while Toronto-Dominion Bank (TD.TO) gained 0.17 percent. Manulife Financial Corp. (MFC.TO) shed 0.40 percent.

The Information Technology Index shed 0.24 percent, although BlackBerry Limited (BB.TO) climbed 0.92 percent.

The Capped Industrials Index declined 0.87 percent, with Bombardier Inc. (BBD.A.TO, BBD.B.TO) slipping 1.06 percent.

Automotive supplier Magna International Inc. (MGA, MG.TO) eased 0.39 percent after indicating that the U.S. District Court, Southern District of New York granted the company's motion and dismissed the putative securities class action lawsuit that was filed against it in May 2012.

Real estate investment trust Brookfield Office Properties Inc. (BPO, BPO.TO) slipped 1.10 percent after announcing that DTLA Fund Holding Co. and Brookfield DTLA Fund Properties Holding Inc. extended their previously announced cash tender offer to acquire all outstanding shares of preferred stock of MPG Office Trust Inc. (MPG) until August 30, 2013.

In economic news from the U.S., the Commerce Department said durable goods orders tumbled by 7.3 percent in July following a 3.9 percent increase in June. Economists had expected orders to fall by about 4.0 percent. Excluding a pullback in orders for transportation equipment, durable goods orders fell by a more modest 0.6 percent in July compared to a 0.1 percent increase in the previous month.

Elsewhere, a leading indicator for eurozone's economic activity increased for a third consecutive month in July, signaling an improving economic outlook, the Conference Board said in a report. The leading economic index increased 1 percent month-on-month to 108.4 in July after a 0.4 percent rise in both June and May.