• TSX -57.15 Fri to 13,595.12 (Reuters)
o As most TSX sectors backed off amid another flare-up of worry over the European debt crisis. The TSX played catch up to losses that piled up on stock markets around the globe after S+ P's lowered its outlook on Italy's A-plus sovereign-credit rating from stable to negative last Friday. But the main concern centres on whether Greece will restructure its debt, a scenario that ratings agency Moody's said would constitute a default, which could badly hit the other debt-laden European countries.
• DOW -25.05 to 12,356.21
o On the economic front, the U.S. Commerce Department said new-home sales rose 7.3 per cent last month to a seasonally adjusted annual rate of 323,000 homes. It is the second straight monthly gain. However, a normal housing market would mean a pace of about 700,000 new-home sales a month.
• Dollar -.32c to 102.45c USD
• Oil +$1.89 to $99.59USD per barrel
o Helped along as the greenback weakened somewhat and by word from Goldman Sachs Group Inc. - it is turning "more bullish" on raw materials. Goldman Sachs suggested buying oil, copper and zinc, reversing last month's call to sell commodities.
• Gold +$7.90 to $1523.30 per ounce
o Nervous investors sought a safe haven for a third straight day.
The spread (based on the NEW MERIX 5 yr rate published rate of 3.99%) is now mid comfort zone at 1.57. At the other end, the spread on the new 5yr Unpublished special of 3.79% is 1.37, well below the comfort zone.
