msantos
06-17-2009, 07:26 AM
http://www.cleanmpg.com/photos/data/2/Canadian_Flag.jpg Doubts about economic `revival' hit markets (http://www.thestar.com/article/651803)
http://www.cleanmpg.com/photos/data/501/Trader_Christopher_Morie_at_the_NYSE.jpgStaff - THESTAR (http://www.thestar.com) - June 17, 2009
People are certainly eager to emerge out of this recession, but is this eagerness predicated on false hopes? --Ed.
The Toronto stock market closed lower for a third session yesterday, led by another slide in commodity stocks as oil and metal prices fell back on a lack of conviction about the strength of an economic revival.
The S&P/TSX composite index, up more than 150 points during the morning, fell 87.38 points to 10,307.4 as investors continue to wonder if a sharp run-up in prices since early March was justified.
The negative performance comes at a time when the main Toronto index is up almost 40 per cent since the spring rally started March 9, amid hopes that an economic upturn will be in place by the end of the year.
But some analysts think investors are quite right to be cautious at this stage.
"We have come a little far much too quickly and I'd be a little cautious around these ranges," said Fred Ketchen, manager of equity trading at Scotia Capital.
"I just think that worldwide economic activity is certainly not in my mind something to foster this kind of a move. I think we need to get back to a reality situation where we realize that things have not totally repaired themselves. We have got a lot of challenges economically."
The TSX energy sector was down 2.4 per cent. Giant EnCana Corp., for instance, declined $1.35 to $58.99.
The July crude contract in New York finished the session at $70.47 (U.S.) a barrel, down 15 cents, after going as high as $72.77 in early morning trading.... http://www.thestar.com/article/651803
http://www.cleanmpg.com/photos/data/501/Trader_Christopher_Morie_at_the_NYSE.jpgStaff - THESTAR (http://www.thestar.com) - June 17, 2009
People are certainly eager to emerge out of this recession, but is this eagerness predicated on false hopes? --Ed.
The Toronto stock market closed lower for a third session yesterday, led by another slide in commodity stocks as oil and metal prices fell back on a lack of conviction about the strength of an economic revival.
The S&P/TSX composite index, up more than 150 points during the morning, fell 87.38 points to 10,307.4 as investors continue to wonder if a sharp run-up in prices since early March was justified.
The negative performance comes at a time when the main Toronto index is up almost 40 per cent since the spring rally started March 9, amid hopes that an economic upturn will be in place by the end of the year.
But some analysts think investors are quite right to be cautious at this stage.
"We have come a little far much too quickly and I'd be a little cautious around these ranges," said Fred Ketchen, manager of equity trading at Scotia Capital.
"I just think that worldwide economic activity is certainly not in my mind something to foster this kind of a move. I think we need to get back to a reality situation where we realize that things have not totally repaired themselves. We have got a lot of challenges economically."
The TSX energy sector was down 2.4 per cent. Giant EnCana Corp., for instance, declined $1.35 to $58.99.
The July crude contract in New York finished the session at $70.47 (U.S.) a barrel, down 15 cents, after going as high as $72.77 in early morning trading.... http://www.thestar.com/article/651803