TSX Flat Over N. Korea Crisis

ECN in Focus


Stocks in Canada’s biggest market were slated to open nearly unchanged on Friday, as investors waited for inflation data amid concerns over rising tensions between North Korea and the United States.

The S&P/TSX Composite Index tacked on 65.32 points to close Thursday at 15,454.92, a 14-week high.

September futures were down 0.01% Friday morning.

The Canadian dollar regrouped 0.39 cents to 81.50 cents U.S. Friday morning.

Despite Canada’s threats to walk away from North American Free Trade Agreement talks if necessary, its limited success in diversifying exports leaves the nation too reliant on U.S. markets to play hardball.

A strike that began Sunday at a Canadian General Motors plant is having a ripple effect, with the company temporarily laying off workers at three parts facilities on Thursday.

Credit Suisse raised the price target on ECN Capital to $4.75 from $4.50

Canaccord Genuity raised the target price on Tahoe Resources to $11.00 from $10.75

On the economic ledger, Statistics Canada reported Friday that the consumer price index rose 1.4% on a year-over-year basis in August, following a 1.2% increase in July. On a seasonally-adjusted monthly basis, inflation grew 0.2% in August, matching the increase in July.

What’s more, retail sales in Canada increased 0.4% to $49.1 billion in July. Higher sales at motor vehicle and parts dealers and food and beverage stores were the main contributors to the gain.

ON BAYSTREET

The TSX Venture Exchange slipped 0.79 points Thursday to 775.87

ON WALLSTREET

U.S. stock index futures pointed to a lower open on Friday morning, as fresh threats from North Korea revived geopolitical tensions.

Futures for the Dow Jones Industrials slid 30 points, or 0.1%, to 22,303

S&P 500 futures docked five points, or 0.2%, to 2,496, while futures on the NASDAQ Composite index fell 20 points, or 0.3%, to 5,925.25

North Korean leader Kim Jong Un said Thursday that he was considering the "highest level of hard-line countermeasure" in response to Trump's warning the U.S. would be prepared to "totally destroy" Pyongyang if forced to defend itself or its allies.

On the earnings front, CarMax and Finish Line are both due to release their latest earnings figures before the bell.

The Dow fell for the first time in 10 days on Thursday, closing lower even after a small gain at the open took the benchmark to a new record.

Overseas, markets in Europe were up around 0.2% approaching noon local time, while Japan’s Nikkei 225 lost 0.3%, and CSI 300 in Shanghai lost 0.09 points

Oil prices settled 15 cents to $50.40 U.S. per barrel.

Gold prices gained $4.10 to $1,298.90 U.S. an ounce.