TSX falls as technology shares drag

Reuters
Updated
FILE PHOTO: Businessmen pass the Toronto Stock Exchange sing in Toronto

(Reuters) - Canada's main stock index fell on Friday, mirroring weakness in global markets, after U.S. chipmaker Broadcom's reduced forecast and downbeat industrial data out of China came as fresh evidence of the U.S.-China trade war pressuring global growth.

* Technology stocks fell 0.6% after Broadcom Inc cut its 2019 revenue forecast by $2 billion, blaming the trade conflict and export curbs on Huawei Technologies Co Ltd.

* Meanwhile data from China showed industrial output growth in the world's second-largest economy slowed to a more than 17-year low in May.

* At 9:50 a.m. ET (13:50 GMT), the Toronto Stock Exchange's S&P/TSX composite index was down 27.84 points, or 0.17%, at 16,211.42.

* The Canadian dollar fell to a one-week low against its U.S. counterpart on Friday as U.S. data suggesting a pick-up in consumer spending boosted the greenback.

* The energy sector dropped 0.1%. The price of oil, one of Canada's major exports, was also on track for a weekly loss on fears that trade disputes will dent global oil demand, though attacks on two oil tankers in the Gulf of Oman this week gave prices a floor.

* The materials sector, which includes precious and base metals miners and fertilizer companies, added 0.7% as gold prices hit their highest since April last year. [GOL/]

* On the TSX, 95 issues were higher, while 138 issues declined for a 1.45-to-1 ratio to the downside, with 17.84 million shares traded.

* The largest percentage gainer on the TSX was Norbord, which jumped 6% after BMO upgraded the company's shares to "outperform" from "perform".

* New Gold followed closely behind, gaining 5.7%.

* Cannabis producers Hexo Corp fell 4.5% and Cronos Group Inc dropped 3.5%, pushing the healthcare sector down 1.7%.

* The most heavily traded shares by volume were Stornoway Diamond Corp , Sherritt International Corp and Hexo.

* The TSX posted seven new 52-week highs and no new low.

* Across all Canadian issues there were 30 new 52-week highs and six new lows, with total volume of 32.28 million shares.

(Reporting by Amy Caren Daniel in Bengaluru; Editing by Sriraj Kalluvila)