Stocks extended their losing streak to three consecutive days on Monday, following signs of disagreement in Europe and ongoing concerns about the global economy.
The Dow Jones industrial average closed at 13,558.92, down 20.55 points or 0.2 per cent. The broader S&P 500 closed at 1456.89, down 3.26 points or 0.2 per cent. In Canada, the S&P/TSX composite index closed at 12,313.54, down 70.06 points or 0.6 per cent.
Weekend comments from leaders of France and Germany suggested that the two countries have opposing views on how and when to integrate the euro zone’s banking system, which is seen as an important step in dealing with fallout from the region’s debt crisis.
As well, there were more signs of deteriorating global economic conditions. A reading of German business confidence fell unexpectedly in September.
Apple Inc. fell 1.3 per cent after it said it sold 5 million new iPhones over the weekend, disappointing some expectations.
Facebook Inc., which had been enjoying a rally recently, fell 9.1 per cent after an article in Barron’s suggested the shares could be worth just $15. However, Google Inc. rose 2.1 per cent, touching a new record high.
In Canada, commodities dragged on market performance. Crude oil fell to $91.93 (U.S.) a barrel, down 96 cents. Gold fell to $1,764.60 an ounce, down $13.40. Among Canadian commodity producers, Suncor Energy Inc. fell 0.7 per cent, Canadian Oil Sands Ltd. fell 0.2 per cent and Barrick Gold Corp. fell 2.8 per cent.
Valeant Pharmaceuticals International Inc. rose 0.8 per cent after it announced a $62.5-million deal to buy the rights to Visudyne, a treatment for age-related blindness, from QLT Inc. QLT rose 7.7 per cent.
Canaccord Financial Inc. fell 5.6 per cent after it announced that it will close half of the branches in its wealth management unit as it struggles to regain profitability in the unit.