Equity markets in Canada’s biggest centre took a sharp drop soon after Wednesday’s opening, with energy issues bruised the worst.
The S&P/TSX composite index took a header of 206.13 points, or 1.4%, to open Wednesday at 14,967.81
The Canadian dollar bolted higher 0.54 cents to 83.40 cents U.S.
Energy stocks fell hardest in the first hour, as Canyon Services Group dove 52 cents, or 6.3%, to $7.78, and RMP Energy skidded 18 cents, or 5.5%, to $3.11.
The metals and mining group also suffered, as First Quantum Minerals traveled 64 cents, or 3.5%, lower, to $17.71, and Turquoise Hill Resources swooned 14 cents, or 2.6%, to $5.16.
Among utilities, TransAlta was worse off 49 cents, or 4.2%, to $11.26.
Telecoms provided some relief, as Rogers Communications sprang to life $1.28, or 3%, to $43.40.
On the economic slate, Western University’s IVEY School of Business released its Purchasing Managers’ Index, which inApril, stood at 58.2, compared to 54.1 for the corresponding month last year, and 47.9 in March of this year.
The index canvasses purchasing managers as to whether their purchases improved, decreased, or stayed the same each month. A reading over 50 indicates an increase; under 50, a decrease.
ON BAYSTREET
The TSX Venture Exchange moved down 5.63 points to 691.12
All but one of the 14 Toronto subgroups were negative to start the day, as energy doffed 2.1%, metals and mining dipped 1.7%, and utilities fell 1.2%
Only telecoms improved, and only 0.4% at that.
ON WALLSTREET
U.S. stocks turned lower after a higher open on Wednesday as higher yields and energy prices remained in focus ahead of Friday's jobs report.
The Dow Jones Industrials went down 124.02 points to 17,804.18, with Exxon Mobil leading gains and Pfizer the greatest laggard.
The S&P 500 index dipped 7.12 points to 2,082.34, with energy leading seven sectors higher and telecommunications the greatest decliner.
The NASDAQ skidded 17.83 points to 4,921.50.
Major earnings due on Wednesday included SodaStream, Wendy's, GlaxoSmithKline before market open.
GlaxoSmithKline reported revenue in line with estimates, but earnings short of forecasts. Glaxo had better than expected results for vaccines and consumer health care, but pharmaceuticals were a drag on profits.
Wendy's earned an adjusted six cents per share for its latest quarter, one cent above estimates, though revenue was below forecasts.
The fast food chain also announced plans to sell its bakery operations during this quarter, and will refinance its existing debt.
Mylan reported adjusted quarterly profit of 70 cents U.S. per share, one cent above estimates. Revenue was below estimates, impacted by the strong dollar. Activity in Mylan's stock has been driven recently by a three-way takeover battle in which it is trying to buy Perrigo while fending off a takeover bid from Teva.
Activision Blizzard, 21st Century Fox, Tesla Motors, Whole Foods all report after the bell.
The ADP Employment Report showed 169,000 jobs were created in April, below expectations.
The report, which could foreshadow Friday's employment report, was expected to record a modest rise in the rate of job creation to around 200,000 in April, according to analysts.
Prices for 10-year U.S. Treasuries slid, raising yields to 2.22% from Tuesday’s 2.17%. Treasury prices and yields move in opposite directions.
Oil prices hiked $1.46 to $61.86 U.S.
Gold prices gained $2.10 to $1,195.30 U.S.
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