CANADA STOCKS-TSX tumbles on China, Spain concerns
* TSX down 130.56 points at 12,084.09 * All 10 sectors weaker By Claire Sibonney TORONTO, April 13 (Reuters) - Canada's main stock index fell sharply on Friday, snapping a two-day rally after slower-than-expected growth data from China and a spike in Spain's borrowing costs hit shares in a broad-based decline. China's economy grew at its slowest pace in nearly three years and no signs of fresh stimulus are seen, deepening worries of slower demand from the resource-hungry economy and hitting commodities such as oil and copper. Safe-haven gold was also caught up in the wholesale selloff, weighing on the index's precious metal miners. Among the biggest decliners, Royal Bank of Canada was down 1.3 percent to C$56.11, Suncor Energy fell 1.9 percent to C$30.37 and Barrick Gold slipped 1.6 percent to C$41.29. "It looks like equity markets probably have some headwinds for the next few months," said Robert Kavcic, economist at BMO Capital Markets. "We've seen some softer U.S. data for once and obviously growth concerns from China and European debt concerns are starting to flare up a little bit again, so it's broadly creating some headwinds for the equity market." Spain's benchmark government bond yield jumped above 5.9 percent after data showed Spanish banks borrowed heavily from the European Central Bank in March, reviving concerns over the country's finances. At 10:17 a.m. (1417 GMT), the Toronto Stock Exchange's S&P/TSX composite index was down 130.56 points, or 1.07 percent, at 12,084.09. All 10 sectors were weaker. Kavcic noted that valuations on the TSX and S&P 500 are also more normal now than they were six months ago, when they looked quite cheap. "That tailwind is pretty well gone for now," he added. In individual company news, Air Canada slipped 1.2 percent to 85 Canadian cents, after it had canceled some 30 flights after what it described as "illegal job action" by some of its pilots, the latest example of tense labor relations at the country's biggest airline. Shaw Commuications dropped 3.8 percent to C$19.98 after announcing it expected a marginal decline in profit at the cable unit this year.
- Colorado baker discriminated by denying gay couple wedding cake: judge
- WTO overcomes last minute hitch to reach its first global trade deal
- Flights delayed as air pollution hits record in Shanghai
- Amish girl in Ohio will not be forced to resume chemo for cancer
- South Africa mourns Mandela, will bury him on December 15 |