“If We Do Not Wrap Up a Little Love With Our Christmas Gift What Is The Use” -Bob Edwards


TSX – Strong Close To Down Week

Mining stocks helped push the Toronto stock market to a strong gain Friday as metal prices recovered from losses earlier in the week. But Research In Motion was a weight on the TSX as the BlackBerry maker’s shares tumbled $1.83 or 11.58% to $13.97 after it disappointed investors with much lower profits and an announced delay until late next year for delivery of its new generation of BlackBerrys to consumers.  RIM reported a third-quarter net profit of only US$256 million, compared with $911 million for the same period last year.  The S&P/TSX composite index gained 130.96 points to 11,635.38 while the TSX Venture Exchange gained 21.18 points to 1,426.11. The Canadian dollar lost 0.12 of a cent to 96.43 cents US and New York markets turned lower on concerns about worsening economic conditions in Europe.  The Dow Jones industrial index dipped 2.57 points to 11,866.24. The Nasdaq composite index gained 14.32 points to 2,555.33 and the S&P 500 index was ahead 3.9 points to 1,219.65.

Despite the positive showing Friday, it was another negative week for the TSX, which fell 399 points or 3.31% as worries about the European debt crisis vied for attention with improving economic reports. “The debate going on right now is Europe and the risks of the unknown with the banking crisis versus the economic data, especially out of the U.S. which has been better than expected,” said Mark Bayko, portfolio adviser, U.S. and International Equities, RBC Dominion Securities.  American markets had been higher in the morning against a backdrop of positive U.S. data, including a report Thursday showing the number of people applying for unemployment benefits dropped sharply last week to the fewest since May 2008. Traders had also been encouraged by two strong regional manufacturing reports.

The TSX closed at 11635, down 399 points or -3.32% over the past week. YTD the TSX is down -13.44%.

The DOW closed at 11816, down 318 points or -2.61% over the past week.YTD the DOW is up +2.49%.

The S&P closed at 1219, down 36 points or -2.86% over the past week.YTD the S&P is down -3.10%.

The Nasdaq closed at 2555, down 92 points or -3.48% over the past week.YTD the Nasdaq is down -3.69%.

Gold closed at 1597, down 148 points or -8.48% over the past week.YTD gold is up +12.39%.

Oil closed at 93.53, down -6.30 points or -6.3% over the past week.YTD oil is up +1.98%.

The CAD/USD closed at 0.9643, down 0.02 points or -2.03% over the past week.YTD the CAD/USD is down -3.79%.


Sources: Bloomberg, Investment Executive, Advisor Analysis