Canada's main stock index was trading higher on Thursday morning lead by healthcare stocks while data showed U.S. jobs growth slowed in June, tempering expectations of a rate hike by the Federal Reserve in September.
The S&P/TSX composite index was up 51.24 points at 14,604.57.
U.S. nonfarm payrolls rose 223,000 in June, the Labor Department said on Thursday. With 432,000 people dropping out of the labor force, U.S. unemployment rate fell two-tenths of a percentage point to 5.3 percent, the lowest since April 2008.
In Canada -- The RBC Canadian Manufacturing Purchasing Managers' index (PMI), a measure of manufacturing business conditions, rose to a seasonally adjusted 51.3 last month from 49.8 in May.
The loonie was trading at 79.48 cents US, down 0.58 of a U.S. cent.
ON BAYSTREET
The TSX Venture Exchange was up 2.16 points to 673.65.
Eight of the 14 TSX subgroups were higher this morning -- health-care stocks were up 0.9%, telecom stocks moved up 0.81%, and consumer discretionary improved 0.88%.
On the downside -- metals and mining stocks were down 0.85, consumer staples dipped 0.49% and gold issues shed 0.25%.
Gold futures for August delivery fell 0.7 percent to $1,161.10 an ounce.
ON WALLSTREET
U.S. stocks edged higher on Thursday as investors weighed a soft jobs report as well as lingering uncertainty tied to Greece, which is slated to hold a referendum that amounts to a vote on the country’s status as a eurozone member.
The S&P 500 added 5 points, or 0.2%, to 2,082. The Dow Jones Industrial Average rose 36 points, or 0.2%, to 17,789. The Nasdaq Composite gained 7 points, or 0.1% to 5,020.
Government data for June showed the economy added 223,000 new jobs, in line with forecasts by economists polled by MarketWatch. However, May and April numbers were reduced. The unemployment rated ticked down to 5.3%, but mostly due to more people leaving the labor force. Separately, weekly jobless claims climbed 10,000 to 281,000.
Analysts noted that the report was solid enough for the Federal Reserve to raise interest rates in September, yet a lack of wage growth could give policy makers an excuse to wait until December.
Thursday wraps up the holiday-shortened week, with the main indexes on track to post weekly losses. Financial markets will be closed on Friday to observe U.S.’s Independence Day.
On the corporate front -- Health Net shares soared 13% after Centene has agreed to buy the company in a cash-and-stock deal worth $6.8 billion. Centene shares dropped 3.6%.
Tesla Motors Inc. climbed .34% as the company said second-quarter deliveries of its 11,507 Model S vehicles jumped 52% from the year-earlier period.
Xoom Corp. surged 22% after the digital payments company received a buyout bid from PayPal Inc. on Wednesday.
Progress Software Corp. surged 6% after the business-software company raised its outlook for the year following better-than-expected earnings.
The yield on the 10-year Treasury fell 4.1 basis point to 2.377%.
The two-year yield declined 4.7 basis points to 0.641% and the yield on the 30-year Treasury fell two basis points to 3.173%.
U.S. crude futures were up 18 cents at $57.14 per barrel.
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