Canada Stocks Close Lower; ECB Rate Cut Erodes Metals and Mining Sector; Barrick Gold Most Active
Canadian stocks closed lower on Thursday lead down by Metals and Mining. Most sectors were lower but Telecom bucked the trend.
Prior to the opening bell, the European Central Bank announced a surprise rate cut were the central bank reduced the refinance rate to 25 basis points from 50 basis points. In a press conference following the meeting ECB President Mario Draghia reiterated the central banks view that rates would remain low for the foreseeable future. The US dollar gain ground after the rate cut, eroding the value of commodities such as gold and oil.
Barrick Gold (ABX.TO) was the most active stock on the TSX closing down 0.78% with 6.5 million shares changing hands. The was no fresh stock specific news driving volume.