Market numbers: October 2, 2009

| North American markets | International markets | Bonds | Currency | Commodities |

North American stock markets headed for a sharply lower open Friday morning as the American economy shed more than a quarter of a million jobs last month, far more than the approximately 180,000 that economists expected.

The U.S. Labour Department reported that job losses came in at 263,000, while the unemployment rate increased a tenth of a point to 9.8%, the highest level since June, 1983.

After the release of the report, the Dow Jones industrials fell 109 points to 9,362, the Nasdaq futures dropped 15.5 points to 1,655 while the S&P 500 futures were down 10.3 point to 1,017.1.

If laid-off workers who have settled for part-time work or have given up looking for new jobs are included, the unemployment rate rose to 17%, the highest on records dating from 1994.

The Labour Department also said that losses during July and August were 13,000 higher than originally reported.

The Canadian dollar was down sharply for a second day, down 0.95 of a cent to 91.26 cents US after falling 1.19 cents on Thursday.

The showing on market futures comes after indexes retreated Thursday in the wake of a weak reading on the U.S. manufacturing sector and jobless insurance claims.

The S&P/TSX composite index tumbled 323 points, led by steep slides in commodity stocks.

The manufacturing data, on top of a flat reading of Canadian economic activity during July and weaker than expected U.S. consumer confidence readings, have further called into question a strong economic recovery.

Hopes for such a rebound have fuelled the strong rise in markets this year. The TSX’s main index alone surged almost 10% during the third quarter.

Energy stocks will likely pressure the TSX as the November crude contract on the New York Mercantile Exchange fell $1.77 to US$69.05 a barrel.

Metals were also lower as the December bullion contract on the Nymex lost $10.90 to US$989.80 while December copper was off eight cents to US$2.66 a pound.

Overseas, Asian markets fell ahead of the release of the U.S. employment report.

Japan’s Nikkei 225 average dropped 2.5% with shares of carmakers like Toyota and Nissan especially hard hit. Hong Kong’s Hang Seng lost 2.8% being closed Thursday for a national holiday.

South Korea’s market was closed for a holiday as were those in mainland China and India.

In corporate news, the Globe and Mail reported that National Post chief executive Paul Godfrey has lined up financial backers to make a bid for daily newspapers owned by CanWest Global Communications Corp. (TSX:CGS).

Canwest has been trying for months to sell assets in order to free itself from a huge debt load, largely taken on to acquire the former Southam newspapers from a company controlled by former media baron Conrad Black.

Magellan Aerospace Corp. (TSX:MAL) said Thursday that it has signed a deal to build components for Airbus’ new A350 XWB aircraft. Financial terms of the deal were not immediately available.

Pengrowth Energy Trust (TSX:PGF.UN) is cutting its monthly distributions to unitholders by 30% starting with its November payment to help fund an increase in capital spending. The trust will pay seven cents per unit, down from 10 cents, starting with its Nov. 16 cash distribution.

QLT Inc. (TSX:QLT) said Thursday that it has sold its U.S. subsidiary QLT USA Inc. to Tolmar Holding Inc. in a deal worth up to US$230 million. QLT USA’s principal asset is the Eligard line of products for the treatment of prostate cancer.

(The Canadian Press)

North American markets

Back to Top

Dow Jones	9,509.28	-203.00 or -2.09%	+8.35%
S&P 500	1,029.85	-27.23 or -2.58%	+14.02%
NASDAQ	2,057.48	-64.94 or -3.06%	+30.47%
TSX Composite	11,071.76	-323.20 or -2.84%	+23.19%

International markets

Back to Top

	Open	Change	YTD
Nikkei	9,731.87	-246.77 or -2.47%	+9.85%
Hang Seng	20,375.49	-579.76 or -2.77%	+41.62%
SENSEX	17,134.55	+7.71 or +0.05%	+77.61%
FTSE 100	5,004.58	-43.23 or -0.86%	+12.86%
CAC 40	3,665.51	-55.26 or -1.49%	+13.91%
DAX	5,506.70	-47.85 or -0.86%	+14.48%

Bonds

Back to Top

Bonds	$Current	$Previous	%Yield
Cdn. 10-year bond	104.05	103.68	3.26
Cdn. 30-year bond	120.30	119.84	3.81
U.S. 10-year bond	103.63	102.72	3.19
U.S. 30-year bond	109.34	107.94	3.96

Currency

Back to Top

BoC Open	Today	Previous
Canadian $	0.9126	0.9221
US $	1.0957	1.0845

Euro Spot Rate	Today	Previous
Canadian $	0.6301	0.6351
Euro	1.5871	1.5744

Commodities

Back to Top

Gold	AM	PM
London Gold Fix ($US)	$ 998.00	$1,004.75

Oil	Open	Change
WTI Crude Future (US)	$69.67	-$1.15 or -1.62%

(10/02/09)