Equity markets in Toronto were lower on Thursday as Goldcorp dived after it reported disappointing quarterly results and got hit, along with other gold miners, by a drop in the bullion price fueled by positive U.S. economic data.
The S&P/TSX composite index stayed negative 68.88 points to end the day at 14,458.69
The Canadian dollar dropped 0.09 cents to 89.31 cents U.S.
Shares of energy producers dropped. In the group, Canadian Natural Resources gave back 44 cents, or 1.1%, to $38.24, while Suncor Energy, which reported quarterly results late on Wednesday, climbed 15 cents, or 0.4%, to $39.00.
Gold miners dived as Barrick Gold slumped with the price of bullion despite reporting stronger-than-expected third-quarter earnings on Wednesday. The stock was down 59 cents, or 4.1% at $13.75.
Goldcorp shares tumbled $3.20, or 13.3% to $20.84 after the company's results fell short of market expectations.
Health-care issues, however, moved higher, with Catamaran shares galloping $6.07, or 12.9% to $53.22.
ON BAYSTREET
The TSX Venture Exchange slumped 9.42 points to 771.65
The 14 Toronto subgroups were evenly divided between gainers and losers. Health-care vaulted 4.3%, while real-estate was stronger by 0.7%, and information technology tacked on 0.4%.
The seven laggards were weighed mostly by gold, down 7.4%, materials, off 4.9%, and the metals and mining group, sliding 3.7%.
ON WALLSTREET
U.S. stocks rallied on Thursday, boosted by a strong reading on quarterly economic growth and on the back of upbeat earnings reports including Visa, which accounted for nearly 150 points in the Dow.
The Dow Jones Industrials soared 221.11 points, or 1.3%, to 17,195.42
The S&P 500 gained 12.35 points to 1,994.65. The NASDAQ index moved higher 16.91 points to 4,566.14.
Visa jumped 11.1% to $238.49 U.S. as the biggest boost to both the Dow and S&P 500 a day after it reported adjusted earnings that topped expectations, and said the mobile payment industry would be "a great driver" for business.
MasterCard also posted a better-than-expected profit, while revenue was up almost 13%. Its shares added 9.1% to $82.88 U.S.
So far this reporting season, 75.5% of S&P 500 companies have exceeded profit expectations, according to Thomson Reuters data, above the long-term average of 63%.
Investors digested robust economic reports, a day after the Federal Reserve officially announced the conclusion of its bond-purchasing initiative.
Confirming the Fed’s optimistic view on the economy, the first reading of third-quarter Gross Domestic Product came in better than expected, expanding at a 3.5% annualized rate.
Weekly jobless claims ticked up, however, claims remain below the 300,000, pointing to an improving labour market.
Prices for 10-year U.S. Treasuries dipped, raising yields to 2.30% from Wednesday’s 2.32%. Treasury prices and yields move in opposite directions.
Oil prices lowered $1.14 to $81.06 U.S. a barrel.
Gold prices tumbled $26.40 to $1,198.50 U.S. an ounce.
