Stocks in Canada’s biggest centre opened sharply higher on Tuesday, tracking global markets as optimism that a deal could be reached to stave off a Greek default bolstered investor sentiment.
The S&P/TSX composite index gained 83.41 points to open the day’s trading at 14,873.89, after triple-digit gains Monday.
The Canadian dollar tumbled 0.38 cents to 80.85 cents U.S.
BlackBerry Ltd reported a slightly wider than expected adjusted loss, however shares in the company rose over 8%as its revenue slide began to show signs of stalling and its turnaround begins to slowly gain traction. Excluding a one-time accounting gain and charges related to restructuring items, the company reported a loss of $28 million or five cents a share. Analysts, on average, were expecting a loss of three cents a share.
BlackBerry shares dipped five cents in price to $11.27
Canadian Pacific Railway said on Monday it is cooperating with a new federal safety investigation, after a media report raised allegations that it failed to apply adequate brakes when parking a train carrying flammable oil on a mountain slope in British Columbia. The federal transport department confirmed that it had obtained a search warrant to investigate the alleged events from February 2015.
CP shares spiked $1.77 to $209.06.
Teck Resources is facing sanctions that could include revoking its permit over environmental infractions at its Carmen de Andacollo copper mine in Chile, the local regulator said on Monday.
Problems at the mine, located in the north-central region of Coquimbo, included openings in the deposit where the ore was stored and a failure to build sufficient water infrastructure, the regulator said in a statement. Teck shares climbed 21 cents, or 1.6%, to $13.55
TD securities raised the rating on Goldcorp Inc to action list buy from buy following the strengthening of Goldcorp’s balance sheet combined with share price underperformance.
Goldcorp shares took on 36 cents, or 1.8% to $20.36.
ON BAYSTREET
The TSX Venture Exchange gave back 1.89 points to 680.45
All 14 TSX subgroups were in the green in Tuesday’s first hour, led by global base metals, hiking 0.9%, while telecoms and financials each improved 0.7%.
ON WALLSTREET
U.S. stocks traded mixed on Tuesday as investors watched domestic data reports for further signs of economic improvement and remained optimistic on a Greece deal.
The Dow Jones Industrials gained 58.75 points to begin the day’s trading at 18,178.53, with UnitedHealth leading advancers and Microsoft the greatest decliner.
The S&P 500 index added 3.46 points to 2,126.31, with telecommunications leading seven sectors higher and utilities the greatest laggard.
The NASDAQ eked higher 0.91 points to improve on its intraday high, to 5,154.88
BlackBerry missed estimates on both the top and bottom lines, but its tech and software licensing revenue jumped from a year earlier and its adjusted profit margins were also above expectations.
Darden Restaurants reported adjusted quarterly profit of $1.08 U.S. per share, 15 cents above estimates, with revenue also beating.
Darden also said it would pursue a spin-off of its real estate assets into a REIT, followed by a leaseback of the properties involved.
AT&T stock was upgraded to "overweight" from "neutral" at Barclays, which cited the potential positive effects of AT&T's purchase of DirecTV.
The morning's economic data was mixed, with durable goods falling more than expected and the initial read on U.S. Purchasing Managers Index the lowest since October 2013.
U.S. durable goods data for May showed a decline of 1.8%, a greater decline than expected. Ex-transportation, the figure rose 0.5%.
The core figure of non-defense capital goods orders excluding aircraft rose 0.4%, reversing a 0.3% decline in April.
The FHFA Housing Price Index showed an increase of 0.3% in April. New home sales rose 2.2% in May to a seven-year high.
Financial data firm Markit said its preliminary U.S. Manufacturing Purchasing Managers' Index declined to 53.4 in June, it lowest since October 2013, from a final May reading of 54. Economists polled by Reuters had forecast the June figure would be 54.2
Prices for 10-year U.S. Treasuries dropped, raising yields to 2.41% from Monday’s 2.38%. Treasury prices and yields move in opposite directions.
Oil prices dropped 64 cents a barrel to $59.74 U.S.
Gold prices faded $5.50 at $1,178.60 U.S. an ounce.
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