Toronto stocks finished lower Friday even though oil prices hit another record high.

The S&P/TSX composite index fell 86.80 points, or 0.59%, to close at 14,521.19.

Eight of the 10 main TSX subgroups on the benchmark ended lower, including the heavyweight energy and materials sectors, which dropped 0.52% and 1.83%, respectively.

The key financials group slipped 0.06%.

Oil shares fell even though crude jumped to a record high above US$126 a barrel, extending its gains on fuel supply concerns and speculator buying.

U.S. crude oil futures hit a record $126.25 a barrel in post-settlement trading, before pulling back somewhat to US$126.17. On the New York Mercantile Exchange, June crude settled at US$125.96 a barrel, up US$2.27.

In Toronto, Canadian Natural Resources fell $1.85, or 1.9%, to $94.15 a day after it reported a surge in quarterly profit because of rocketing oil prices.

EnCana Corp. shares shed 96¢, or 1.1%, to end at $86.52.

Gold prices moved higher, but shares of Barrick Gold fell $1.49, or 3.6%, to finish at $39.51.

The junior S&P/TSX Venture composite index gained 24.56 points, or 0.97%, to 2,564.01.

In New York, U.S. stocks fell as the price of oil set another record and concerns about the financial sector flared up again after American International Group Inc, reported a massive loss.

U.S. banking giant Citigroup Inc. said it intends to shed roughly US$400 billion of non-core assets in a bid to become more competitive.

The Dow Jones industrial average fell 120.90 points, or 0.94%, to close at 12,745.88. The S&P 500 shed 9.40 points, or 0.67%, to end at 1,388.28, while the Nasdaq composite index slipped 5.72 points, or 0.23%, to 2,445.52.

For the week, all three indexes ended lower. The Dow lost 2.4%, the S&P 500 slid 1.8% and the Nasdaq tumbled 1.3%.