Energy Shares Drag TSX Slightly Lower -- Canadian Commentary

(RTTNews) - Canadian stocks are lower Friday morning with investors reacting to weak Canadian GDP data and a report showing an unexpected drop in U.S. personal spending.

A decline in Canadian industrial product prices and sluggish commodity prices are also weighing on the market. However, an encouraging report on U.S. Chicago area business activity is limiting the market's losses.

Energy stocks are declining, tracking lower crude oil prices. Shares from mining, financial and utilities sections are lower as well.

The benchmark S&P/TSX Composite Index is down 33.30 points or 0.23 percent at 14,555.65, off an early low of 14,537.08.

On Thursday, the index ended down 22.01 points or 0.15 percent at 14,588.95.

In the materials space, First Quantum Minerals Ltd. (FM.TO), Turquoise Hill Resources Ltd. (TRQ.TO), Lundin Mining Corporation (LUN.TO), HudBay Minerals Inc. (HBM.TO) are declining 1 to 2.2 percent. Meanwhile, Sherritt International Corporation (S.TO) and Nevsun Resources Ltd. (NSU.TO) are up 1 percent and 0.5 percent, respectively.

Energy stocks Canadian Natural Resources Limited (CNQ.TO), Imperial Oil Limited (IMO.TO), Bellatrix Exploration Ltd. (BXE.TO), Crocotta Energy Inc. (CTA.TO) and Husky Energy Inc. (HSE.TO) are down 0.6 to 1 percent.

Among gold stocks, First Quantum Minerals Ltd. (FM.TO), Silver Wheaton Corp. (SLW.TO), Franco-Nevada Corporation (FNV.TO), IAMGOLD Corporation (IMG.TO) and B2Gold Corp. (BTO.TO) are lower by 0.8 to 2.2 percent, while Barrick Gold Corporation (ABX.TO) is up in positive territory, gaining over 2 percent.

Healthcare stocks Catamaran Corporation (CCT.TO) and Catamaran Corporation (CCT.TO) are down 0.5 percent and 0.7 percent, respectively.

Among big six banks, Royal Bank of Canada (RY.TO), National Bank of Canada (NA.TO) and Bank of Montreal (BMO.TO) are down 0.4 to 0.6 percent, while Canadian Imperial Bank Of Commerce (CM.TO) is lower by about 1.2 percent.

In commodities, crude oil futures for July delivery are down $0.52 or 0.5 percent at $103.06 a barrel.

Natural gas for July is down $0.40 or 0.87 percent at $ 4.520 per million btu.

Gold futures for August are down $9.90 or 0.79 percent at $1,247.20 an ounce.

Silver for July is down $0.171 or 0.9 percent at $ 18,843 an ounce.

Meanwhile, copper is down $0.011 or 0.36 percent at $3.133 per pound.

In the currency market, the Canadian loonie is trading at 1.0851 against the U.S. dollar, down 0.13 percent from previous close.

On the economic front, Canada's economy grew 1.2 percent in the first quarter, after seeing a 2.7 percent growth in previous quarter. Economists expected the economy to grow by 1.8 percent in the first quarter.

In economic news from the U.S., data released by the Commerce Department showed consumer spending to have declined by a seasonally adjusted 0.1 percent in April. Meanwhile, personal income rose 0.3 percent in April as expected, rising for the fourth straight month.

According to a report released by MNI Indicators, Chicago-area business activity unexpectedly rose to a seven-month high in May, climbing to 65.5, from 63.0 in April. The increase surprised economists, who had expected the barometer to dip to 61.0.

Thomson Reuters and the University of Michigan also released a report showing a slight upward revision to their reading on consumer sentiment in May.