Canadian stocks were lingering in negative territory Monday morning as traders were concerned over the euro zone debt situation after Greece and its creditors failed to come up with an agreement on a debt swap.
The S&P/TSX Composite Index lost 111.98 points or 0.90 percent to 12,354.52.
The Diversified Materials Index was the major loser, diving nearly 3 percent. First Quantum Minerals (FM.TO) and Ivanhoe Mines (IVN.TO) were down around 5 percent each, while Teck Resources (TCK_B.TO) was losing over 2 percent.
The price of crude oil was lingering below the $100-mark Monday morning amid renewed concerns over the euro zone debt situation. Crude for March was down $0.69 to $98.87 a barrel.
In the oil patch, Niko Resources (NKO.TO) and Petrobakken Energy (PBN.TO) surrendered around 5 percent each.
In the financial space, Bank of Montreal (BMO.TO) lost over 2 percent. The bank said that it adopted IFRS effective November 1, 2011, and will present its financial statements prepared in accordance with IFRS on February 28, 2012. Meanwhile, adjusted net income for fiscal 2011 of C$3.275 billion, as derived from IFRS results, was C$6 million lower than the previously reported adjusted net income of C$3.281 billion as derived from Canadian GAAP results.
The price of gold was leveling off from its seven-week high Monday morning as the euro fell back and European shares came under pressure on euro zone debt issues. Gold for April, the most actively traded contract, lost $4.90 to $1,730.50 an ounce.
Among gold plays, Agnico-Eagle Mines (AEM.TO) shed 4 percent and Goldcorp. (G.TO) lost 2 percent.
International pharmaceuticals company Valeant Pharmaceuticals International (VRX.TO) slipped 1 percent after it said it has withdrawn its offer to acquire ISTA Pharmaceuticals Inc. (ISTA) for $7.50 per share in cash
Renewable energy and utility company Algonquin Power & Utilities (AQN.TO) eased 0.50 percent after announcing that it would not proceed with its previously announced $83 million investment in First Wind Holdings, LLC's wind portfolio in the North East United States.
Meanwhile, communication products and network solutions provider RuggedCom Inc. (RCM.TO) skyrocketed 25 percent to C$32.79 after it said it would be acquired by Siemens for C$33.00 per share in cash, or a total transaction value of nearly C$382 million. The offer price represents just over 25 percent premium to the latest closing price of C$26.25.
In economic news from south of the border, the U.S. Commerce Department said personal income increased $61.3 billion in December, a 0.5 percent increase over November levels. While most economists had expected a relatively robust increase in personal incomes, the market consensus had pegged it as a 0.4 percent increase. However, consumer spending dipped unexpectedly in December, falling less than 0.1 percent.
Elsewhere, euro zone economic confidence improved in January, posting the first increase in sentiment since March 2011, a survey by the European Commission showed. The corresponding indicator rose to 93.4 from 92.8 in December. Economists had forecast an increase to 93.8 from December's original score of 93.3.
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