Canada's main stock index poked upward at the open on Wednesday, after a slide in oil prices hurt the energy sector and Bank of Canada's comment that U.S. trade policies were holding back Canadian investments weighed on the sentiment.
The S&P/TSX Composite Index gained 4.11 points to open Wednesday at 15,706.80
The Canadian dollar fell 0.29 cents to 75.89 cents U.S.
Aphria said on Wednesday it had rejected U.S. cannabis retailer Green Growth Brands' hostile takeover bid, saying the offer significantly undervalued the company.
Aphria shares dipped 97 cents, or 6.9%, to $13.10.
Canadian pharmaceutical industry lobby groups, in an effort to head off a planned crackdown on prescription drug prices, offered to give up $8.6 billion in revenue over 10 years, freeze prices or reduce the cost of treating rare diseases
Suncor Energy reported a quarterly loss on Tuesday, compared with a profit a year ago, as lower prices for the country's crude offset gains from higher refinery margins. Suncor shares lost 73 cents, or 1.7%, to $42.77.
National Bank of Canada upped the target price Intact Financial to $109.00 from $106.00. Intact shares rocketed $5.38, or 5.1%, to $109.96.
National Bank of Canada boosted the target price on Loblaw Companies to $67.00 from $62.00. Loblaw gained 18 cents to $66.23.
RBC cut the rating on SmartCentres REIT to outperform from top pick. SmartCentres units settled 25 cents to $33.53.
On the economic docket, Statistics Canada reported that Canadian municipalities issued $8.8 billion worth of building permits in December, up 6.0% from November and the fourth consecutive monthly increase.
The gain was largely due to higher construction intentions for multi-family dwellings and commercial buildings, with both components hitting record highs.
Western University’s IVEY School of Business presents its Purchasing Managers Index for January. The PMI measured 54.7 last month, down sharply from the 59.7 issued in December, and off from the 55.2 in January 2018
ON BAYSTREET
The TSX Venture Exchange dropped 3.74 points to 616.89
Eight of the 12 TSX subgroups started the session higher, as consumer discretionary stocks took on 0.5%, while utilities and real-estate each gained 0.3%.
The four laggards were weighed most heavily by health-care issues, plunging 3%, energy, bowing 0.7%, and consumer staples, off 0.2%.
ON WALLSTREET
Stocks opened little changed on Wednesday following President Donald Trump's second State of the Union address. Investors also digested corporate earnings results from companies like General Motors.
The Dow Jones Industrial Average reversed Tuesday’s gains, losing 85.29 points to 25,326.23, as Nike lagged.
The S&P 500 lost 12.43 points to 2,725.27
The NASDAQ Composite fell 50.8 points to 7,351.28
The corporate earnings season rolled on with GM reporting better-than-expected results. The numbers sent GM shares up more than 2%. Walt Disney and Snap also reported better-than-forecast results. Disney climbed nearly 1% while Snap surged 23%.
Eli Lilly and Cummins, meanwhile, reported earnings that missed expectations.
Through Wednesday morning, more than 55% of S&P 500 companies have posted quarterly results. Of those companies, 68% have beaten expectations.
Trump addressed issues like infrastructure spending, drug pricing and trade. He also appeared to soften his tone around funding for a border wall along the U.S.-Mexico border. Trump reiterated his belief the U.S. needs a border wall, but did not declare a state of emergency as he had previously threatened to do.
Prices for the benchmark 10-year U.S. Treasury moved higher, lowering yields to 2.68% from Tuesday’s 2.7%. Treasury prices and yields move in opposite directions.
Oil prices sank 59 cents to $53.07 U.S. a barrel.
Gold prices were down $1.70 to $1,317.50 U.S. an ounce.
