TSX Ends Lower On Global Cues -- Canadian Commentary

(RTTNews) - Canadian stocks snapped a three-day gain to end lower on Wednesday, tracking declining global equity markets and some disappointing economic news from the U.S. with durable goods orders showing a more than expected drop in February.

Global markets turned in a weak performance with European markets in the red despite the better than expected German business confidence report. The weakness was attributed to the strengthening of the euro against the U.S. dollar after the disappointing U.S. durable goods orders report.

Markets in the United States ended firmly in the negative following an unexpected drop in durable goods orders for February. With orders for transportation equipment showing a notable pullback, a Commerce Department report showed new orders for U.S. manufactured durable goods unexpectedly decreased in February.

The benchmark S&P/TSX Composite Index closed Wednesday at 14,929.92, down 151.34 points or 1.00 percent. The index scaled an intraday high of 15,161.61 and a low of 14,929.92.

On Tuesday, the index closed up 124.05 points or 0.83 percent, at 15,081.26. The index scaled an intraday high of 15,103.18 and a low of 14,930.92.

Crude oil ended higher despite the official weekly oil report from the Energy Information Administration showed crude stockpiles to have risen more than expected last week, for an eleventh straight week.

The U.S. Energy Information Administration said crude oil inventories in the country surged 8.2 million barrels in the week ended March 20, while analysts expected an increase of 4.6 million barrels. Total U.S. crude oil inventories were at 466.7 million barrels end last week. Stockpiles have been climbing every week since the week ended January 9.

Gasoline stocks dropped by 2.0 million barrels last week, with analysts anticipating a decline of 1.6 million barrels.

The Energy Index gained 0.67 percent, with U.S. crude oil futures for May delivery, the most actively traded contract, jumping $1.70 or 3.6 percent to settle at $49.21 a barrel on the New York Mercantile Exchange Wednesday.

Among energy stocks, Canadian Oil Sands Limited (COS.TO) fell 1.95 percent, Suncor Energy Inc. (SU.TO) moved up 0.53 percent, and Canadian Natural Resources Limited (CNQ.TO) gained 1.45 percent.

Crescent Point Energy Corp. (CPG.TO) added 0.37 percent, while Cenovus Energy Inc. (CVE.TO) shed 0.79 percent.

Encana Corp. (ECA.TO) inched up 0.21 percent, while Pacific Rubiales Energy Corp. (PRE.TO) ended flat at $3.22 a share.

The Diversified Metals & Mining Index plummeted 3.19 percent, as First Quantum Minerals Ltd. (FM.TO) surrendered 2.74 percent, Lundin Mining Corp. (LUN.TO) shed 3.72 percent, and Teck Resources Limited (TCK-B.TO) fell 4.14 percent.

Sherritt International (S.TO) shed 1.31 percent. The company on Tuesday announced the appointment of Steve Wood as its Executive Vice President and Chief Operating Officer, effective April 27, 2015.

Gold futures ended higher with investors seeking the safe haven of the precious metal after most global equity markets declined and on a weak dollar following some some soft durable goods data from the U.S.

The Gold Index shed 1.42 percent, although gold for April delivery gained $5.60 or 0.5 percent to settle at $1,197.00 an ounce on the New York Mercantile Exchange Wednesday.

Among gold stocks, Kinross Gold Corp (K.TO) dropped 2.85 percent, Eldorado Gold Corp. (ELD.TO) fell 3.64 percent, Barrick Gold Corp. (ABX.TO) fell 0.28 percent, and Yamana Gold Inc. (YRI.TO) dived 3.26 percent.

Franco-Nevada Corp. (FNV.TO) dropped 2.22 percent, while Silver Wheaton Corp. (SLW.TO) dipped 1.14 percent. Agnico Eagle Mines Limited (AEM.TO) lost 0.34 percent.

The Capped Materials Index dropped 1.35 percent, with Potash Corp. of Saskatchewan Inc. (POT.TO) down 0.54 percent and Agrium Inc. (AGU.TO) up 0.07 percent.

The heavyweight Financial Index dived 1.19 percent, with Bank of Nova Scotia (BNS.TO) down 1.71 percent and Bank of Montreal (BMO.TO) down 1.15 percent.

National Bank of Canada (NA.TO) dipped 0.31 percent, while Toronto-Dominion Bank (TD.TO) fell 0.97 percent. Canadian Imperial Bank of Commerce (CM.TO) dived 1.94 percent, while Royal Bank of Canada (RY.TO) surrendered 1.26 percent.

The Health Care Index shed 2.54 percent, as Valeant Pharmaceuticals International, Inc. (VRX.TO) dropped 3.39 percent, Catamaran Corp. (CCT.TO) fell 1.69 percent, and Extendicare Inc. (EXE.TO) gained 0.27 percent.

The Capped Industrials Index fell 1.11 percent, with Air Canada (AC.TO) adding 1.43 percent and Bombardier Inc. (BBD.B.TO) gaining 2.42 percent.

The Information Technology Index declined 2.28 percent, with BlackBerry Limited (BB.TO) shedding 2.60 percent, Sierra Wireless, Inc. (SW.TO) plummeting 5.33 percent, and Descartes Systems Group Inc. (DSG.TO) dived 4.12 percent.

The Capped Telecommunication Index surrendered 1.06 percent, with Rogers Communications Inc. (RCI.B.TO) shedding 1.77 percent and TELUS Corp. (T.TO) losing 1.51 percent. Manitoba Telecom Services Inc. (MBT.TO) moved up 0.25 percent, while BCE Inc. (BCE.TO) dropped 1.16 percent.

Tricon Capital Group (TCN.TO) gained 3.15 percent, after its subsidiary, Tricon American Homes agreed to acquire a portfolio of approximately 1,400 U.S. single-family rental homes.

Oncolytics Biotech (ONC.TO) surged 7.29 percent, after the European Medicines Agency granted Orphan Drug Designation to REOLYSIN, a treatment for ovarian, fallopian tube and primary peritoneal cancers.

Dollarama (DOL.TO) rose 2.71 percent, after reporting its fourth quarter earnings rose to C$0.76 per share from C$0.59 per share last year.

In economic news, a Commerce Department report on Wednesday showed new orders for U.S. manufactured durable goods unexpectedly decreased in February, with orders for transportation equipment showing a notable pullback. Durable goods orders fell 1.4 percent in February following a downwardly revised 2.0 percent increase in January. Economists expected orders to climb by 0.7 percent compared to the 2.8 percent jump reported for the previous month.

Elsewhere, German business morale improved for the fifth straight month to an eight-month high in March as firms expressed greater optimism about future developments. The business climate index rose more-than-expected to 107.9 in March from 106.8 in February, results of a survey by Munich-based Ifo Institute showed Wednesday. This was the highest score since July 2014 when the reading was 108. It was forecast to rise to 107.3.

French business confidence weakened in March but remained close to its long-term average, survey data from the statistical office Insee showed Wednesday. The business confidence index fell to 99 from 100 in February. It was forecast to remain unchanged at 100.

U.K. mortgage approvals rose to a five-month high in February, the British Bankers' Association reported Wednesday. The number of mortgages approved for house purchases rose to a seasonally adjusted 37,305 in February from 36,517 in January. This was the highest since September 2014. It was expected to rise slightly to 36,650.