Toronto's main stock index saw initial gains fade on Monday, after momentum dissolved following a rescue package for Spain's banking sector eased recent tensions over the country's debt crisis.
The S&P/TSX Composite Index began Monday's trading off 9.19 points to 11,491.44
The Canadian dollar slid 0.42 of a cent to 97.39 cents U.S.
Canadian oil and gas producer Niko Resources Ltd plugged and abandoned the Candralila-1 well in western Indonesia without reaching the target depth of 1,875 metres due to mechanical problems.
Among stocks to watch this morning, Athabasca Oil , assigned an outperform rating and price target of $17 by National Bank Financial, citing near-term production and cash flow growth from company's aggressive development plans for the Deep Basin
CIBC cut the price target on Avalon Rare Metals to $5.40 from $7.90 on the back of declining prices of rare earth metals
CIBC raised the rating on Cott Corp. to sector outperformer from sector performer citing softening in resin prices and higher sales prospects from energy drinks
National Bank Financial resumes coverage on Enbridge Inc. with outperform rating and says company's proceeds from its recent public offering will provide enough capital for its five-year growth program
Berenberg Bank cut price target on beleaguered tech whiz Research In Motion to $7 from $11 on increasing competition in the U.S. market and service revenue concerns
The TSX Venture Exchange gave back 0.72 points to 1,292.41. The Nasdaq Canada index erased 3.08 points to 372.03
The 14 Toronto subgroups were evenly divided between gainers and losers. Industrials led the former subgroups, adding 0.7%, while telecoms and financials moved 0.6% each.
The seven laggards were weighed mostly by health-care, down 1.3%, gold, off 1.2%, and materials, subsiding 0.6%.
U.S. stocks moved lower at the open Monday, as early enthusiasm over a $125-billion U.S. bailout for Spanish banks began to fade.
The Dow Jones Industrials dropped 10.67 points Friday, to 12,543.53
The S&P 500 was 1.19 points lower to 1,324.47. The tech-rich Nasdaq Composite Index sifted off 6.47 points to 2,851.95
Technology bellwether Apple could make news when it holds its annual developers' conference. Shares of Apple were up 1% in early trading.
Battered shares of Facebook, which started to recoup recent losses with a 3% gain in trading Friday, continued to edge higher Monday.
JPMorgan Chase shares rose, extending a 2.7% gain logged during market hours Friday. The bank's CEO, Jamie Dimon, will appear in front of the Senate Banking Committee Wednesday to answer questions about the company's $2-billion U.S. loss.
Over the weekend, Spain asked for €100 billion ($125 billion U.S.) from the other members of the euro-zone for help to recapitalize its banking system, and the group signaled it is willing to respond favorably to the request.
While investors consider "the rescue of Spain as a rescue for the financial markets," they are still facing many unanswered questions, according to a number of experts.
Spanish bond yields began to creep from around 6% toward 6.5%.
Also over the weekend, China reported record exports, at $181.1 billion U.S, and imports, at $162.4 billion U.S., which gave it a bigger-than-expected trade surplus and helped to ease concern about a so-called hard landing caused by a rapid slowdown in its economy.
A separate report showed inflation in China slowed in May, which kept the door open for more stimuli from the government there to deal with any possible slowdown.
Last week, China's central bank announced a surprise interest rate cut, which briefly lifted stocks.
No major U.S. economic readings are due Monday, though reports will come later in the week on retail sales and inflation.
The price on the benchmark 10-year U.S. Treasury gained a bit, lowering yields to 1.62% from Friday's 1.64%. Treasury prices and yields move in opposite directions.
The price of a barrel of oil gained 12 cents to $84.22 U.S.
Gold futures for June delivery rose $1.80 to $1,593.20 U.S. an ounce.