Markets in Toronto opened marginally lower on Wednesday as the possibility of a U.S. military strike against Syria provided a drag on investor sentiment, despite positive economic data from the euro-zone and China.
The S&P/TSX composite index began the session down 29.70 points to 12,710.50, after a jump of more than 80 points Tuesday.
The Canadian dollar added 0.39 cents at 95.23 cents U.S.
Roughly 1,000 people gathered in Romania's capital late on Tuesday for a third day of protests against plans by firms such as Gabriel Resources Ltd. to start an open-cast gold mine in the small Carpathian town of Rosia Montana. Even so, Gabriel stock took on four cents to $1.43.
CIBC raised the target price on Alimentation Couche-Tard to $63 from $60, saying the company's first quarter showed the first signs of stabilization and performance from the Statoil Fuel & Retail acquisition. Couche-Tard gained $1.04 to $62.10
CIBC also cut the rating on Bank of Nova Scotia to sector performer from outperform, declaring that the company's shares have struggled of late on concerns over emerging markets. Shares in Scotiabank docked 18 cents to $58.39.
Canaccord Genuity cut the target price on Dundee International REIT to $9.75 from $10.25. Dundee units dipped four cents to $29.20.
In the economic docket today, Statistics Canada reported that merchandise imports grew by 0.6% in July, while exports were off 0.6%, meaning our trade deficit with the rest of the world widened to $931 million in July from $460 million in June.
What’s more, the Bank of Canada is maintaining its target for the overnight rate at 1%.
ON BAYSTREET
The TSX Venture Exchange gained 4.55 points to begin Wednesday at 946.13
Eight of the 14 Toronto subgroups were lower to start Wednesday, weighed mostly by gold, down 1.9%, materials, off 1.3%, and the metals and mining sector, falling 1%.
The half-dozen gainers were information technology and consumer discretionaries, up 0.3% each, while consumer staples climbed a slight 0.2%.
ON WALLSTREET
Investors are on edge Wednesday as it seems increasingly likely that the U.S. will lead a military strike against Syria.
The Dow Jones Industrials gained 46.67 points at 14,880.50
The S&P 500 index picked up 6.56 points to 1,646.33. The NASDAQ improved 22.52 points to 3,635.13
Shares of LinkedIn fell more than 2% after the job search website announced plans to sell $1 billion U.S. worth of stock in a secondary offering.
Shares of JCPenney rose after two hedge funds -- Hayman Capital and Glenview Capital -- announced new stakes in the struggling retailer.
H&R Block shares fell after missing analyst expectations.
Shares of Dollar General rose, after the retailer wowed Wall Street with its second quarter results.
All three indexes ended with gains on Tuesday, but had pulled back from earlier highs when leaders in the House of Representatives said they would support President Barack Obama's plan for a strike on Syria.
On the economic front, August auto sales will be reported throughout the day. At 2 p.m. ET, the Federal Reserve will release its Beige Book, a report summarizing economic conditions in the country.
Prices for the 10-year U.S. Treasury sagged somewhat, raising yields to 2.86% from Tuesday’s 2.85%. Treasury prices and yields move in opposite directions.
Oil prices fell $1.21 to $107.32 U.S. a barrel.
Gold prices slid $18.70 to $1,393.20 U.S. an ounce.
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