Melted silver is poured into molds at the KGHM Copper and Precious Metals smelter and processing plant in Glogow May 10, 2013.Peter Andrews/Reuters
Toronto and New York markets were lower Monday, as investors wait for a report from China that may show that the slow growth in the world's second-largest economy has continued.
The S&P/TSX composite index dropped 106.0 points to 15,159.35, after closing down 200 points on Friday. The metals and mining sector and gold were the heaviest weights on the Toronto exchange.
The Canadian dollar was down 0.49 of a cent to 90.86 cents (U.S.), against a strengthening U.S. dollar.
U.S. indexes were in negative territory with the Dow Jones industrials down 30.15 points to 17,249.59. The Nasdaq dipped 52.13 points to 4,527.66 and the S&P 500 index lost 7.23 points to 2,003.17.
On Tuesday, HSBC will release its closely-watched gauge on China's manufacturing, which is anticipated to show renewed weakness following a spate of soft data. If the index falls near or below 50, it would indicate that China's manufacturing businesses are hardly growing. China, along with the U.S., usually set the pace for global growth.
"There's growing concern over the state of the Chinese economy," said Joao Monteiro, an analyst at Valutrades.
Commodity markets were also lower, as the November crude contract on the New York Mercantile Exchange dipped 23 cents to $92.18 (U.S.) a barrel. December bullion was down $2.80 to $1,213.8 an ounce and December copper was down five cents to $3.03 a pound.
This week there will also be two reports that will give some insight into how the Canadian and U.S. economies are faring.
Canadian retail sales for July will be released Tuesday, with analysts expecting a bump of 0.4 per cent year-over-year. On Thursday, the U.S. durable goods orders will be released for August and are expected to show a drop of 17.7 per cent.
In corporate news, German electronics and engineering company Siemens AG has reached a deal to acquire oil field equipment maker Dresser-Rand for $7.6-billion. Under the deal, Siemens will pay $83 per common share of Dresser-Rand Group Inc., $3.09 more than the company's closing share price on Friday.