Market claws back – Metro US

Market claws back

The Toronto stock market closed higher yesterday, clawing back a tiny part of the previous day’s 4.4 per cent plunge, in large part because of energy stocks rising alongside oil prices.

The main S&P/TSX composite index closed up 62.54 points to 9,896.72 following a 454-point selloff sparked by a World Bank report that warned the world economy will shrink 2.9 per cent in 2009 compared with a previous forecast for a 1.7 per cent decline.

Since hitting a recent high on June 11, the TSX has lost about 7.5 per cent.

Yesterday, the TSX energy sector clawed back a chunk of Monday’s slide of over six per cent, rising 1.5 per cent as the August crude contract in New York moved up $1.74 to $69.24 US after dropping $2.62 on Monday.

U.S. markets were weak with the Dow Jones industrial average down 16.1 points to 8,322.91 after slumping 2.4 per cent. The index was weighed down by Boeing which said it was again delaying the first test flight of its long-awaited 787 jetliner.