TSX Drifts Lower As Technology, Materials Stocks Lose Ground

(RTTNews) - Technology, materials and real estate stocks are showing weakness on Bay Street, where the mood remains cautious Wednesday morning amid persisting concerns about the impact of the conflict in the Middle East.

Energy stocks are in demand as oil prices moved higher due to an escalation in tensions in the Gulf region.

The benchmark S&P/TSX Composite Index is down 203.48 points or 0.61% at 33,067.17 about a quarter before noon.

The Information Technology Index is down 2.5%. Constellation Software, down 6.6%, is the biggest loser in the index. Open Text Corporation is down 3% and CGI is declining by about 2.3%. Shopify, Computer Modelling Group, Kinaxis, Coveo Solutions and Sylogist are lower by 1%-2%.

Among materials stocks, Discovery Silver Corp and Silvercorp Metals re down 7.7% and 6%, respectively. New Gold, Novagold Resources, First Majestic Silver Corp., Aya Gold & Silver, Fortuna Mining, Endeavour Silver Corp., Ssr Mining and Lundin Gold are down 4%-5.6%.

Franco-Nevada Corp reported fourth-quarter net income of $367.7 million or $1.90 per share, compared to $175.4 million or $0.91 per share last year. The stock is up by about 0.3%.

Real estate stock Colliers International is down 4.5%. FirstService Corporation, CDN Apartment, Altus Group and Riocan Real Estate are down 1%-1.6%.

BCE (down 1.6%), Telus Corporation (T.TO) and Rogers Communications (down 1%) are the notable losers in the communications space.

Energy stock Parex Resources is up more than 4%. Frontera Energy Corp and Parex have entered into a definitive arrangement agreement as per which Frontera will divest its upstream Colombian exploration and production business to Parex Resources for an equity consideration of up to $525 million. Frontera Energy shares are up nearly 1%.

Peyto Exploration, Ces Energy Solutions, Cenovus Energy, Tourmaline Oil Corporation, Arc Resources, CDN Natural Resources, Baytex Energy, Imperial Oil and Paramount Resources are gaining 2%-4%.