Canadian stocks fell to the lowest level since April as commodity producers sank with the price of oil on concerns about a slowdown in global economic growth.

Athabasca Oil Corp. and Ithaca Energy Inc. tumbled at least 8.2 percent as oil producers fell for an eighth straight day. Iamgold Corp. and Kinross Gold Corp. dropped more than 5 percent as gold producers resumed declines after jumping the most in a year yesterday.

The Standard & Poor’s/TSX Composite Index (SPTSX) fell 205.87 points, or 1.4 percent, to 14,460.60 at 4 p.m. in Toronto, the lowest level since April 16. The equity gauge has fallen 2.2 percent this week, on track for a sixth straight weekly decline, the longest stretch since April 2012. The S&P/TSX has tumbled 7.7 percent from its Sept. 3 record.

“Clearly market momentum has turned to the downside with added volatility,” said Greg Eckel, a fund manager at Morgan Meighen & Associates Ltd. in Toronto. The firm manages about C$1.4 billion.

Nine of the 10 industries in the benchmark gauge declined on trading volume 35 percent higher than the 30-day average.

Athabasca Oil tumbled 8.3 percent to C$4.56, a record low, and Ithaca Energy retreated 9.9 percent to C$1.73 as energy stocks slumped 2.7 percent as a group, to an eight-month low.

The S&P/TSX Energy Index has fallen for eight days, the longest stretch since August 2011, and is down 15 percent from its June peak this year.

Bear Market

Crude in New York slumped 1.8 percent to settle at $85.77 a barrel, closing 20 percent below its June high as oil supplies increased and economic growth faltered.

Brent crude for November delivery dropped below $90 a barrel for the first time since June 2012. Brent ended yesterday more than 20 percent below this year’s June peak, meeting a common definition of a bear market.

Teck Resources Ltd. (TCK/B), Canada’s largest diversified miner, fell 6.2 percent to C$18.09, the lowest since July 2009. Iron ore prices continued to plunge in September on new supply and tepid demand from China, the biggest importer and consumer, Bloomberg Intelligence analysts Zhuo Zhang and Kenneth Hoffman said in a report.
Source: Bloomberg

Iamgold plunged 5.3 percent to C$2.70 and Kinross Gold retreated 5 percent to C$3.42. The S&P/TSX Materials Index tumbled 2.9 percent, the most since March after a 4 percent rally yesterday.

Canadian Tire Corp. increased 3.1 percent to C$120.67, a record, after unveiling a three-year growth strategy that includes additional share buybacks of C$400 million ($360 million) through 2015.

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