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Metals, industrials weigh TSX Apr. 22, 2010 (Baystreet.ca) -- Canadian stocks were lingering in the red in mid-morning deals Thursday, with selling spread across a variety of sectors. Renewed worries over the Greece debt-situation pressured the euro and commodities prices. The S&P/TSX Composite Index approached noon down 100.54 points, to 12,034.02 Eurostat said Thursday that the Greek budget deficit jumped to 13.6% of its GDP in 2009, as against the government's projection of 12.7%. In the energy space, Cenovus Energy lost 4.74% and EnCana Corp. slipped 2.24%. Drilling services provider Precision Drilling Trust moved down 2.35%. The company reported first-quarter net income of $0.22 per unit, compared to $0.28 per unit in the same quarter last year. Among gold stocks, Newmont Mining shed 1.23% and Goldcorp lost 1.04%. Blackberry maker Research In Motion gave in 1.75%. Nokia, the world's biggest mobile phone maker, today reported a lower-than-increase in first quarter earnings. Earlier this week, Apple Inc. reported better-than-expected earnings, mainly on higher sales of its smart phone, iPhone. Fertilizer maker Agrium Inc. shed 1.91% and Potash Corp. gave in 1.57%. Provider of product life cycle solutions to OEMs Celestica Inc. was down 1.06% even after reporting improved earnings in first-quarter at $0.11 per share, compared to net earnings of $0.08 per share for the same period last year. Meanwhile, METRO Inc. gained 2.28%. Yesterday, the company reported improved second-quarter net earnings of $0.74 per share, compared to $0.68 per share last year. The company declared a quarterly dividend of $0.17 per Class A Subordinate Share and Class B Share payable June 8, 2010, an increase of 23.6% over last year. In economic news, Statistics Canada said the number of people received regular employment insurance remain unchanged at 698,800 in February. In other report released today, the agency said Canada's composite leading indicator increased by 1.0% in March, recording gains for a 10th straight month. The Canadian dollar stepped back a mite from parity with the American dollar, skidding 0.19 cents to 99.87 U.S. ON BAYSTREET All but two of the 14 TSX subgroups were lower by midday. Metals and mining stocks slid 1.5%, industrials, 1.2%, financials off 1.1%. The two gainers were telecoms, ahead 0.3%, and utilities, inching up 0.1%. The TSX Venture Exchange skidded 10.45 points to 1,637.05, while the Nasdaq Canada index jettisoned 12.31 points to 780.02. ON WALLSTREET In New York, equities slumped Thursday as Greek debt default fears resumed, the dollar rose against the euro and commodity prices plunged, overshadowing a better-than-expected housing market report and the latest round of corporate profit figures. The Dow Jones industrial average tumbled 84.41 points by lunchtime to 11,040.51. The S&P 500 index backtracked 10.19 points to 1,193.09. The Nasdaq composite index stumbled 18.57 points to 2,476.53. Fears that Greece's fiscal problems are even worse than expected sent global markets lower Thursday, lifting the dollar versus the euro and pummeling the commodity sector. Stocks ended mixed Wednesday as the impact of strong earnings was tempered by concerns about the strength of the economic recovery and some investor exhaustion after the recent rally. Worries that the nation might default on its debt have dragged on stocks for the last few months, countering improved earnings and signs of stability in the global economy. Investors fear that a Greek default could trigger a bigger debt crisis in other strapped euro zone nations, destabilizing the euro and threatening the strength of the global economic recovery. Fears were tempered last week when the European Union (EU) and the International Monetary Fund agreed to make billions in loans available to Greece at below market rates. However, concerns were reignited Thursday after an EU report suggested that Greece's 2009 deficit was bigger than the government reported. The credit rating agency Moody's downgraded Greece's debt to a lower investment grade, and initiated a further review. CenturyTel said it would buy fellow local phone company Qwest Communications in a stop swap worth $10.6 billion U.S. Starbucks reported higher quarterly profit that beat estimates and boosted its 2010 outlook late Wednesday. Earnings are due from American Express in the afternoon and Microsoft and Amazon.com after the bell. President Obama will make another push for tougher financial rules Wednesday. He is due to give a speech near the heart of Wall Street. Economically speaking, the National Association of Realtors said existing home sales rose to a 5.35-million-unit annual rate in March from a 5.01-million-unit rate in February. Economists surveyed by Briefing.com thought sales would rise to 5.29 million units. The government also released reports on first-time claims for unemployment benefits, and inflation at the wholesale level before the market opened. There were a total of 456,000 initial jobless claims filed in the week ended April 17, down from the previous week's revised figure of 480,000, according to the Labor Department's weekly report. The report was roughly in line with expectations and marked the first time in three weeks that claims declined. Economists surveyed by Briefing.com had anticipated 455,000 initial claims. Separately, government figures showed inflation at the wholesale level rose more than expected in March. The Producer Price Index increased 0.7% last month after falling 0.6% in February. Economists were expecting a 0.5% rise in March. Treasury prices gained ground, lowering the yield on the 10-year note to 3.73%, from Wednesday's 3.74%. Treasury prices and yields move in opposite directions. The price of a barrel of oil gave back 58 cents to $83.05 U.S. Gold prices plunged eight dollars to $1,141 U.S. an ounce.

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