The Toronto stock market dipped slightly on Wednesday afternoon as key commodity prices moved higher and the European economy showed improvement.
The S&P/TSX composite index was down 2.89 points to end Wednesday at 12,639.27
The Canadian dollar gained 0.14 cents to 96.81 cents U.S.
Shares of Canada's biggest wireless companies remained in the spotlight with attention focused on whether U.S. telecom giant Verizon could set up shop in this country. Industry Minister James Moore posted a tersely worded letter on his website on Tuesday in response to criticism from a board member of BCE Inc., the parent company of Bell.
Even so, BCE shares managed to work into the green by four cents at $41.84.
Shares of Metro Inc. were down 3.7%, or $2.65, to $69.30 after it unveiled plans to reorganize its Ontario grocery retail network. It says 15 stores will be affected, with an unspecified number closed and the others re-branded under the Food Basics discount banner.
As of the end of 2012, it had about 264 Ontario stores under the Metro and Food Basics banners. Metro also agreed to operate Target's in-store pharmacies in Quebec where the U.S. retailer is expected to open about 25 stores in the province this fall.
Metro also reported third-quarter profits of $149.8 million, an increase of about 4% from $144.4 million the same time last year. Sales dropped nearly 1% to $3.57 billion.
Home improvement retailer Rona Inc. posted a second-quarter loss of $38.7 million from continuing operations in the second quarter, reversing a profit in the same period last year, as it recognized restructuring costs and impairment charges related to its recovery plan.
Sales for the quarter were also down, falling to $1.25 billion from $1.3 billion -- missing analyst estimates.
Rona shares fell 42 cents to $10.84.
B2Gold Corp. posted a big jump in second-quarter earnings on a royalty sale as well as increased revenues. The company earned $33.1 million, or five cents per share, up from $11.9 million, or three cents per share as gold revenue rose to $122.6 million from $57.3 million a year ago. Shares rose 16 cents, or 5.1%, to $3.28.
ON BAYSTREET
The TSX Venture Exchange gained 1.01 points to 926.15
Eight of the 14 Toronto subgroups were lower on the session. Utilities took the worst hit, down 1.5%, while consumer staples skidded 1.4%, and industrials shed 0.8%.
The half-dozen gainers were led by gold, shining 4.7% brighter, materials, up 2.3%, and the metals and mining group, gaining 0.7%.
ON WALLSTREET
U.S. stocks retreated Wednesday, as investors weighed remarks from St. Louis Fed President James Bullard, who is delivering two speeches in Paducah, Kentucky this afternoon.
The Dow Jones Industrial Average plummeted 113.35 points to 15,337.70
The S&P 500 index was down 8.74 points to 1,685.42. The NASDAQ shed 15.17 points to 3,669.27
Bullard is a voting member on the Federal Reserve's policy-making committee, and he has recently said he fears inflation is too low -- a viewpoint that puts in him in favor of continuing the Fed's stimulus efforts, at least for the time being.
That said, he acknowledged Wednesday that excessive inflation could be a risk in the future.
Looking at individual stocks, Apple shares bucked Wednesday's downward trend, rising above $500 U.S. for the first time since January.
The stock has been rallying for a second day on the news that activist investor Carl Icahn has taken a "large" position in the company. Icahn revealed his investment in Apple in a pair of tweets Tuesday afternoon, noting he believes the company is "extremely undervalued."
Meanwhile, Macy's shares fell more than 3%, after the retailer reported weaker-than-expected sales in the second quarter. The company sent investors a mixed signal, noting upcoming back-to-school sales could be strong, while simultaneously cutting its outlook for the year overall.
The report sparked pessimism about other retailers, with traders noting concerns about J.C. Penney, which is scheduled to report its second quarter earnings on August 20.
Best Buy is staging the meteoric comeback J.C. Penney shareholders can only hope for at this point. Shares rose 3% Wednesday after an analyst upgraded the stock, and overall Best Buy is up nearly 170% since the beginning of the year.
Best Buy hasn't delivered a quarterly profit in a year, but investors are hopeful that CEO Hubert Joly, who took the helm last fall, will be successful with his "Renew Blue" plan.
Cisco Systems reported its latest quarterly earnings after the closing bell.
Prices for the 10-year U.S. Treasury eked higher, lowering yields to 2.71% from Tuesday’s 2.72%. Treasury prices and yields move in opposite directions.
Oil prices dipped one cent to $106.82 U.S. a barrel.
Gold prices picked up $11 to $1,334.20 U.S. an ounce.
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