Markets stumbled out of the gate, particularly in Toronto, over debt fears in Europe and the impending “fiscal cliff” awaiting American investors and consumers.
The S&P/TSX Composite Index was negative by 53.90 points to open Wednesday at 12,080.76
The Canadian dollar gained nine-100ths of a cent to 99.85 cents U.S.
Metro Inc. reported higher earnings as sales rose, helped by an extra week in the quarter and a recent acquisition. Metro shares picked up eight cents to $58.66.
Excellon Resources Inc cut its fourth-quarter silver production forecast due to a blockade at its La Platosa mine in Mexico that halted production. The company’s shares were off a penny to 41 cents.
Navigation systems manufacturer Hemisphere GPS Inc said it will exit non-agriculture-related business and cut 38% of workforce. Hemisphere gained a penny to 71 cents.
Iamgold Corp reported a 56% rise in quarterly profit, helped by higher derivative gains, and also cut its 2012 capital expenditure forecast on delays in expansion at two of its mines in Africa. Iamgold plummeted $2.30, or 15.5%, to $12.58.
No major Canadian economic data is scheduled for release Wednesday
ON BAYSTREET
The TSX Venture Exchange tailed off 8.27 points to 1,278.62
All but three of the 14 Toronto subgroups started the day in negative territory. Gold slid 1.5%, while materials scaled back 1.3% and utilities stumbled 0.8%.
The three gainers were consumer staples, up 0.4%, consumer discretionaries, inching up 0.1%, and information technology, clearing breakeven by only 0.04%.
ON WALLSTREET
U.S. stocks were mixed at the open Wednesday, as investors focused on upbeat corporate earnings amid mixed economic data.
The Dow Jones Industrials stepped back 10.87 points to open at 12,745.30
The S&P 500 eked up 1.26 points to 1,375.79, and the Nasdaq Composite Index recovered 5.15 points to 2,889.04
Cisco was among the biggest gainers on the Dow, with shares rising 8%. The tech giant registered profits and sales that beat expectations after the closing bell Tuesday.
Facebook shares rose more than 5% as more than 800 million shares became available. Like many initial public offerings, Facebook's May 18 debut included a "lockup" agreement that requires some shareholders from selling for a certain period. On Wednesday, early employees and investors get their first chance to sell about 773 million shares, as well as another 31 million restricted stock units.
Shares of retailer Abercrombie & Fitch shot up 28% after the company reported sales and earnings that blew past expectations, and raised its full-year earnings guidance above even the most bullish forecasts.
Staples shares rose after the company beat the Street on third-quarter earnings but fell short on revenue.
Toyota Motor shares fell after the Japanese automaker announced Wednesday that it is recalling more than 2.7 million cars worldwide.
The recall mainly covers certain Prius models and was prompted by a problem with the steering intermediate extension shafts, which can suffer damage if sharp turns are made at slow speeds. About 670,000 of the recalled cars were sold in the United States.
On the economic board, the U.S. government reported retail sales fell 0.3% in October, citing a negative impact from Superstorm Sandy. It was slightly worse than the 0.2% decline forecast by economists.
Meanwhile, prices at the wholesale level decreased 0.2%, according to the Producer Price Index report. They had been expected to increase by 0.1% -- led by higher energy and food prices.
Still to come, the Census Bureau will report data on business inventories for September, which are projected to have increased by 0.6%.
Then at 2 p.m. ET, the Federal Reserve will post the minutes of its policy meeting from October
The price on the benchmark 10-year U.S. Treasury slid, upping yields to 1.62% from Tuesday’s 1.59%. Treasury prices and yields move in opposite directions.
Oil prices dropped 11 cents to $85.27 U.S. a barrel.
Gold prices inched up nine cents an ounce to $1,727.30 U.S.
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