TORONTO - The Toronto stock market ended with a triple-digit decline on Monday as nearly all key sectors lost some steam, with metals and mining stocks the heaviest weight on the market.
The S&P/TSX composite index lost 103.56 points to 11,092.50 as investors made profit taking moves amid uncertainty about the direction of the U.S. economy in the coming months.
U.S. markets were closed for the Independence Day holiday.
TSX metals and mining stocks weakened as base metals prices took a hit from concern about a weaker-than-expected recovery in major economies like the U.S. and China.
Shares in Taseko Mines Ltd. (TSX:TKO) plunged 84 cents or 20 per cent to $3.32 after a federal review panel said Friday that the company's proposed open-pit gold-copper mine in B.C. would pose a significant threat to the environment.
The Canadian dollar ended the session off 0.23 of a cent to 93.90 cents US.
Energy shares on the TSX fell 1.5 per cent as the August crude contract on the New York Mercantile Exchange in Europe traded down 39 cents to $71.75 a barrel in late afternoon electronic trading. Shares in Encana Corp. (TSX:ECA) fell 45 cents to C$32.00.
Global gold stocks slipped 0.4 per cent, while the August gold contract moved up $1.70 to US$1,209.40 an ounce. Barrick Gold Corp. (TSX:ABX) stock was flat at C$45.95.
Financial stocks lost 0.6 per cent with shares in CIBC (TSX:CM) slipping 14 cents to $65.91.
The sole gainer was info tech stocks which rose 0.4 per cent and shares of BlackBerry-maker Research In Motion (TSX:RIM) were ahead 58 cents to $51.59.
The TSX Venture Exchange lost 28.73 points to 1,356.22.
With U.S. markets closed for Independence Day, investors were left to mull over a spate of bad economic news from last week that raised fears of a so-called "double-dip" U.S. recession.
Those concerns could continue to pressure markets on both sides of the border this week with very little new economic data available to give investors further insight into the state of the global economy.
"The medicine down there really isn't working," said Vincent DeLisle, portfolio strategist at Scotia Capital in Montreal.
"By this time in the recovery we should have had better job numbers, more recovery coming on board, but we're not getting it and I don't think we're going to get it in the next little while."
DeLisle suggested that a more explicit sense of direction could emerge when major U.S. companies begin reporting their quarterly earnings, starting July 12 with Alcoa Inc.
Earnings "will be a telltale sign as to whether this market keeps going down, or if there's a bottom somewhere and we can turn around and maybe come back a little bit," he added.
On Friday, the Dow Jones industrial average completed seven straight trading sessions of declines -- the index's longest losing streak since the height of the financial crisis in October 2008.
This followed a report from the U.S. Labour Department on Friday that the unemployment rate fell to 9.5 per cent in June, its lowest level in nearly a year. Also Friday, the U.S. Commerce Department said orders for manufactured goods decreased by 1.4 per cent in May, the biggest drop since March 2009 when major stock indexes hit a 12-year low.
In Canadian corporate news, specialty food producer Premium Brands Holdings Corp. (TSX:PBH) said Monday it has acquired a 76 per cent interest in Toronto-based Maximum Seafood. Financial terms of the deal were not released. Shares in Premium Brands slipped five cents to $12.55.
Calgary-based energy services company Divestco Inc. (TSX:DVT) said it has struck a binding deal to divest its entire 2D and 3D seismic data library to Pulse Seismic Inc. (TSX:PSD) in a cash and share transaction worth about $68.3 million.
Shares in Divestco jumped 10 cents or 14.5 per cent to 79 cents, while shares in Pulse fell eight cents or six per cent to $1.20.
Bronco Energy Ltd. (TSX:BCF), a junior oil and gas explorer and developer, confirmed Monday it is in talks with potential bidders for the company while it undertakes a strategic review of its operations. Shares lifted three cents to 20 cents.
Cliffs Natural Resources Inc. (NYSE:CLF) says it has reached an agreement to acquire Toronto-based Spider Resources Inc. (TSXV:SPQ) for $125 million, ending a fierce takeover fight with junior Canadian miner KWG Resources Inc. (TSXV:KWG).
World stocks were mixed in light trading Monday, with shares in Europe lower, with the key British FTSE 100 down 0.3 per cent and the CAC 40 in Paris lower by 0.5 per cent. Germany's DAX was down 0.3 per cent.
Investor anxiety hit Asia as well. Premier Wen Jiabao said over the weekend that China's recovery is facing more problems than expected. Indicators from manufacturing to auto sales suggest economic growth might slow.
Japan's benchmark Nikkei 225 stock index added 0.69 per cent Monday while Hong Kong's Hang Seng index fell 0.32 per cent.