The main Canadian stock market has been down more than 200
points all session with all 10 industry sectors in the S&P/TSX
Composite Index posting declines on disappointment about the
quality of some Canadian and U.S. earnings this season, continuing
concerns about the Spanish and European economies and oil supply
threats from Iran. Commodity-related stocks are taking the hardest
hits today, with energy stocks down 2.4% as a group while the
Metals & Mining sector is down 3%.
In economic news, Canada's central bank today left its key
interest rate unchanged at 1%, although the Bank of Canada said
"over time, some modest withdrawal of monetary policy stimulus will
likely be required."
Also today, Statistics Canada reported retail sales rose 0.3% to
$39.1 billion during August. After removing the effects of price
changes, particularly higher food and gasoline prices, retail sales
in volume terms declined 0.3%.
Here's where the Canadian markets stand today:
- S&P/TSX Composite Index -213.62 -1.7% 12,189.9
- S&P/TSX Venture Composite Index -23.46 -1.8% 1,284.95.
In company news, TD Bank Group (TD,TD.TO) moved to acquire
Target Corp's (
) existing U.S. Visa and private label card portfolio, with a
current gross outstanding balance of $5.9 billion.
The companies also have inked a seven-year pact with TD becoming
the exclusive issuer of Target-branded Visa and private label
consumer credit cards to its U.S. customers. Under the terms of the
program agreement, TD and TGT will share in the profits generated
by the portfolios, with TGT having the more substantial
TGT also will be responsible for all elements of operations and
customer service and will bear most of the operating costs to
service the assets. TD will control risk management policies and
regulatory compliance and will bear all costs related to funding
the portfolio. In addition, TD will have a team on-site in
Minneapolis to work with existing TGT staff in overseeing the