TSX Ends Slightly Lower As Commodities Slip - Canadian Commentary

(RTTNews) - Canadian stocks ended a shade lower Monday, weighed down by resource stocks with commodity prices slipping, even as risk appetite improved after Iran reached a historic agreement with six world powers that halts the progress of its nuclear program.

The world powers and Iran reached an initial agreement early Sunday that limits Iran's nuclear program and rolls it back in key respects. The initial, six month step includes significant limits on Iran's nuclear program and will address the most urgent concerns of the west, including the Middle East country's enrichment capabilities, its existing stockpiles of enriched uranium, the number and capabilities of its centrifuges, and its ability to produce weapons-grade plutonium using the Arak reactor.

In return, the world powers will provide limited, temporary, targeted, and reversible relief to Iran. The relief will be structured so that the overwhelming majority of the sanctions regime, including the key oil, banking, and financial sanctions architecture, remains in place.

The S&P/TSX Composite Index closed Monday at 13,472.22, down 6.12 points or 0.05 percent. The index scaled an intraday high of 13,507.27 and a low of 13,460.92.

Crude oil ended lower Monday, after an agreement with Iran over its nuclear program, while enhancing the supply scenario amid a strengthening dollar.

The Energy Index dropped 0.91 percent, with U.S. crude oil futures for January delivery, the most actively traded contract, shedding $0.75 or 0.8 percent to close at $94.09 a barrel Monday on the Nymex.

Among energy stocks, Imperial Oil Limited (IMO.TO) dropped 1.27 percent, Encana Corp. (ECA.TO) lost 0.15 percent, Talisman Energy Inc. (TLM.TO) was down 0.63 percent, and Canadian Natural Resources Limited (CNQ.TO) shed 0.86 percent.

The Information Technology Index added 0.39 percent, with smartphone maker BlackBerry Limited (BB.TO) gaining 1.38 percent. BlackBerry said James Yersh will replace Brian Bidulka as its chief financial officer, while Chief Operating Officer Kristian Tear and Chief Marketing Officer Frank Boulben will leave the company.

The Diversified Metals & Mining Index shed 1.11 percent, with First Quantum Minerals Ltd. (FM.TO) down 1.20 percent and Lundin Mining Corp. (LUN.TO) down 1.16 percent. Teck Resources (TCK.B.TO) shed 1.62 percent..

The Capped Materials Index slipped 0.11 percent, with Potash Corporation of Saskatchewan Inc.(POT.TO) surrendering 0.55 percent.

Gold ended lower amid a steady dollar and as holdings of the biggest bullion-backed exchange-traded fund fell the most in three weeks.

The Global Gold Index dipped 0.04 percent, with gold futures for December delivery, the most actively traded contract, shedding $2.90 or 0.2 percent to close at $1,241.20 an ounce Monday on the Nymex.

Among gold stocks, Yamana Gold Inc. (YRI.TO) gained 0.64 percent, while IAMGOLD Corp. (IMG.TO) added 1.58 percent. Kinross Gold Corp. (K.TO) gained 0.81 percent, while Barrick Gold Corp. (ABX.TO) added 0.46 percent.

The Financial Index inched up 0.01 percent with Bank of Montreal (BMO.TO) gaining 0.20 percent, while Royal Bank of Canada (RY.TO) ending flat at $71.50 a share. The Bank of Nova Scotia (BNS.TO) added 0.42 percent, while Toronto-Dominion Bank (TD.TO) gathered 0.12 percent.

The Capped Industrials Index gathered 0.46 percent, with Bombardier Inc. (BBD.A.TO, BBD.B.TO) down 0.42 percent.

Detour Gold (DGC.TO) dived 11.71 percent after announcing the resignation of its President and CEO, Gerald Panneton and the appointment of Paul Martin, CFO, as interim CEO.

In economic news from the U.S., the the National Association of Realtors said its pending home sales index dipped 0.6 percent to 102.1 in October from an upwardly revised 102.7 in September. The modest drop came as a surprise to economists, who had been expecting pending sales to rise by 1.1 percent.

From the eurozone, business sentiment among French manufacturers in November remained unchanged at 98, data from the statistical office Insee revealed. The reading was forecast to drop to 97. The balance of opinion on personal production expectation dropped again, to 1 from 8 a month ago.