Daily Wrap-Up: Commodities drag TSX lower

Daily Wrap-Up: Commodities drag TSX lower

Daily Wrap-Up: Commodities drag TSX lower Commodities drag TSX lower
Prices of commodities declined Friday and the materials and energy groups dragged the main TSX index lower. 

Overall, six sectors closed lower including financials while IT, telecoms, healthcare and utilities managed gains. The index was down over the day but closed out the week more than 110 points higher.

Wall Street performed better with the three main indexes gaining, albeit slightly. Europe was mostly lower, except London; Asian markets closed lower.

Oil prices have reversed their downward trend later in the day but are lower over the week, while gold prices eased despite continuing political concerns.

The S&P/TSX Composite Index closed down 25.54 (0.16 per cent)
The Dow Jones closed up 4.28 (0.02 per cent)
Oil is trending higher (Brent $55.73, WTI $53.38 at 4.55pm)
Gold is trending lower (1236.30 at 4.55pm)
The loonie is valued at U$0.7633

Canadian investors acquire more foreign securities 
There was an increase in the value of foreign securities acquired by Canadian investors in December.

Statistics Canada reported Friday that an extra $6.7 billion of foreign securities were acquired by Canadians and that non-US foreign shares was the key investment, while US government bonds were sold.

Investment in Canadian securities reached $10.2 billion in December, mostly Canadian shares.

As a result, international transactions in securities generated a net inflow of funds of $3.6 billion into the Canadian economy in December and a record $147.5 billion for 2016 as a whole.

Kinder Morgan reportedly talking to Canadian investors about pipeline
Kinder Morgan is seeking investment in an extension of its Trans Mountain pipeline project, according to a report from Reuters.

It says that the firm has been talking to institutional investors in Canada including CPPIB and Ontario Teachers’ Pension Plan Board. Experts say that the company could be looking to sell up to 50 per cent of its pipeline project but may also decide on an IPO.

The Trans Mountain extension is due to begin construction later this year with completion in 2019. 

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