Business
TSX weaker at opening
TSX weaker at opening
About this update from Mx Gold Corp.
[{"type":"text","content":"\nTSX weaker at opening\n\nMetals stocks take tumble\n Jan. 20, 2010 (Baystreet.ca) -- Canadian stocks struggled out of the gate on Wednesday, as commodity prices turned sharply lower on a stronger US dollar and speculation China is preparing to turn off its lending spigot. \n\nThe S&P/TSX Composite Index fell 79.99 points early on to register at 11,683.43.\n\nHowever, Bay Street may take a bit of comfort knowing that economic support measures will remain in place for the foreseeable future. This morning's tame inflation data cemented expectations that the Bank of Canada will hold steady on record low interest rates through mid-2010.\n\nThe main index had managed to end marginally higher in the previous session mainly supported by upsurges in gold stocks, which have moved along with the prices of gold. The Index added a marginal 12.88 points to 11,763.42 on Tuesday.\n\nStatistics Canada said today that consumer price index rose 1.3% in the 12 months to December, after rising 1% in the previous month. The rise was primarily due to gasoline prices, which rose 25.6% year over year in December. \n\nThe agency noted that December's on-year increase was the largest since February 2009. The inflation came in at less than the widely expected rise of 1.6% and stayed below the central bank's target. \n\nYesterday, Bank of Canada announced its decision to keep the benchmark interest rate unchanged at 0.25% and hinted that the rate is likely to remain at the current level until the end of the second quarter of 2010.\n\nMeanwhile, the price of crude oil slipped back, as did bullion prices. \n\nFinancial stocks may be under pressure after Bank of America, the largest bank in the U.S., reported a wider-than-expected quarterly loss of $5.2 billion, just after a day Citibank announced a similar not-so-encouraging financial numbers.\n\nIn corporate news, full services telecommunications provider Manitoba Telecom Services said it will make a one-time payment of $43 million in a pension law suit and noted this could take up the total one-time future payment to $100 million. \n\nPetroleum and natural gas explorer Canadian Superior Energy said it had raised $59.5 from a non-brokered private placement. \n\nMineral explorer Trelawney Mining and Exploration announced that it has entered into a mining claim acquisition agreement, which empowers the compa...