“If You Even Dream of Beating Me You’d Better Wake Up and Apologize” -Muhammed Ali

 

A Down Day to an Up Week

Missed earnings, falling commodities and a setback for telecom giant BCE Inc. combined to send the Toronto stock market into the red Friday after four straight days of gains. The S&P/TSX composite index fell 50.14 points to 12,415.98, while the TSX Venture Exchange added 3.28 points to 1,315.62. The Canadian dollar dropped 0.85 of a cent to 100.68 cents US amid falling prices for oil and metals, particularly copper. A major TSX decliner was radio, TV and billboard company Astral Media. Its shares tumbled almost 16% after the federal broadcast regulator unexpectedly blocked a planned sale to telecom BCE Inc. in a deal worth about $3.4 billion.

The Dow Jones industrial average dropped 205.43 points at 13,343.51. The Nasdaq composite index lost 67.25 points to 3,005.62 and the S&P 500 index dropped 24.15 points to 1,433.19. Traders also took in data showing that Canadian inflation came in at an annualized rate of 1.2% in September, which was in line with expectations.

Investors were also unimpressed with an agreement early Friday by the leaders of the 17 eurozone countries to push ahead with a single banking supervisory body. The leaders remained vague on key details, such as when the supervisor will be up and running. Some investors and analysts worry that Europe’s politicians may have lost the incentive to fix things quickly now that market turmoil has subsided. The borrowing costs of countries like Spain have eased since the European Central Bank unveiled in September a new bond-buying program.

 

 

Market Update October 19 2012

The TSX closed at 12416, up 214 points or 1.75% over the past week. YTD the TSX is up 3.86%.

The DOW closed at 13344, up 15 points or 0.11% over the past week.YTD the DOW is up 9.22%.

The S&P closed at 1433, up 4 points or 0.28% over the past week.YTD the S&P is up 13.91%.

The Nasdaq closed at 3006, down -38 points or -1.25% over the past week.YTD the Nasdaq is up 15.39%.

Gold closed at 1722, down -34.00 points or -1.94% over the past week.YTD gold is up 10.03%.

Oil closed at 91.41, down -2.10 points or -2.25% over the past week.YTD oil is down -7.57%.

The USD/CAD closed at 0.9926, up 0.0132 points or 1.35% over the past week.YTD the USD/CAD is up 1.31%.

 

Sources: Bloomberg; advisor.ca