Canadian stock market dives over banks selloff, energy slump

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Canada's main stock market Thursday suffered a triple-digit dive as investors were concerned about banks selloff and energy slump.

Toronto Stock Exchange's benchmark S&P/TSX Composite Index was down 284.11 points, or 1.93 percent, to 14469.95 points. All of the eight major sectors were in the red.

Financials, TSX's most heavily weighed sector, plummeted 2.24 percent when its leading company TD Bank lost 5.06 percent to 54. 03 Canadian dollars when the Canadian second biggest bank reported a weaker-than-expected fourth quarter adjusted earnings of 1.9 billion Canadian dollars. And Royal Bank of Canada shed 1.18 percent to 80.63 Canadian dollars.

Meanwhile, the European Central Bank's decision to wait till early next year to consider any further stimulus measures also disappointed investors.

Besides, the depressed oil price dragged down TSX sharply as the energy sector dived 4.96 percent. Suncor Energy Inc. plummeted 3.93 percent to 35.89 Canadian dollars and Canadian Natural Resources Ltd. dropped 4.44 percent to 37.21 Canadian dollars.

The most active crude contract for January delivery lost 0.57 U. S. dollar to 66.81 U.S. dollars on the COMEX division of the New York Mercantile Exchange while Air Canada jumped 4.96 percent to 12.07 Canadian dollars.

By contrast, Enbridge Inc. climbed 10.31 percent to 60.04 Canadian dollars after the pipeline company announced it is reviewing a potential restructuring plan to Drop Down Its U.S. Liquids Pipeline Assets to Enbridge Energy Partners.

Altogether with the energy sector, Metals & Mining, diving 3.09 percent, led TSX decliners when its sub-sector basic materials group lost ground. First Quantum Minerals Ltd. shed 6.35 percent to 17.41 Canadian dollars and Teck Resources Ltd. declined 4.39 percent to 16.75 Canadian dollars.

Another sub-sector gold shares also weighed on the TSX index due to a turbulence in gold price, December gold bullion contract tumbled 1 U.S. dollar, to settle at 1207.5 dollars on the COMEX division of the New York Mercantile Exchange.

On the currency front, the Canadian dollars went down Thursday to 0.8791 U.S. dollar from 0.8798 U.S. dollar Wednesday. Endite

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