BUSINESS

Toronto stock market drops on weakness in mining, metals, info technology

09/21/2012 08:50 EDT | Updated 11/21/2012 05:12 EST
TORONTO - The Toronto stock market ended lower on Friday as metals and mining stocks weakened.

The S&P/TSX composite index was down 25.65 points to 12,383.60. The TSX Venture Exchange rose 10.83 points to 1,345.72.

The Canadian dollar moved up 0.01 of a cent to 102.42 cents US.

The metals and mining sector on the TSX was down 1.6 per cent with Turquoise Hill Resources (TSX:TRQ), which was former known as Ivanhoe Mines Ltd. until last month, dropping five per cent to $8.61.

Information technology stocks were down 1.5 per cent, affected by shares of Research In Motion (TSX:RIM).

RIM's stock dropped almost 7.5 per cent after the company said it's investigating the cause of a BlackBerry outage that affected users in Europe, Middle East and Africa on Friday, though the company said the problem has since been resolved. The technical glitch came as Apple launches its new iPhone 5 model in stores. RIM shares were down 50 cents to $6.25.

In commodities, November crude on the New York Mercantile Exchange moved up 48 cents to US$92.89 a barrel, meaning that the price of oil lost six per cent on the week. The TSX energy sector rose 0.3 per cent.

Gold stocks gained 0.6 per cent as the December bullion contract increased $7.80 to end the week at US$1,778 an ounce. December copper was up three cents to US$3.79 a pound.

A Statistics Canada report showed that Canada's inflation rate continued to slide in August, dipping one-tenth of a point to 1.2 per cent as most goods and services tracked by the agency fell or rose moderately compared with the same month last year.

On Wall Street, the Dow Jones industrials lost 17.46 points to 13,579.47. The Nasdaq composite index moved up four points to 3,179.96 and the S&P 500 index was off 0.11 of a point to 1,460.15.

Air Canada (TSX:AC.B) and Irish national carrier Aer Lingus have signed an interline agreement that will make flying between the two countries more convenient. The deal allows customers to fly year-round through London Heathrow Airport on one ticket. Shares of the company were ahead five cents to $1.28.

Elsewhere, hopes that Spain was preparing to tap a new European aid program re-emerged. The ECB recently announced a bond-buying program meant to bring down the borrowing rates of countries that ask for financial aid. The plan has eased market tensions in Spain, but mainly on the assumption that Madrid will request the aid — something it has so far balked at doing.