Equities in Toronto pulled back in early trade on Monday, with a fall in oil prices weighing on energy stocks while financial stocks helped limit the overall impact.
The S&P/TSX composite index fell 68.47 points to begin a new week at 13,769.63
The Canadian dollar sank 0.29 cents at 77.12 cents U.S.
Valeant Pharmaceuticals International, under fire for massive price hikes of its two heart drugs, reported a better-than-expected quarterly profit, boosted mainly by strong performance in its U.S. dermatology business.
Net income attributable to the company fell to $49.5 million, or 14 cents per share, for the third quarter, from $275.4 million, or 81 cents per share, a year earlier.
Cash earnings, or profit adjusted for one-time items, were $2.74 per share, above the average analysts' estimate of $2.70 per share.
Revenue rose to $2.79 billion from $2.06 billion a year earlier, topping analysts' expectation of $2.78 billion.
Valeant shares plummeted $11.69, or 5.1%, to $215.71.
Bombardier Inc plans to sell a minority stake in its rail unit via an initial public offering in Germany have been put on the back burner and any listing may now only occur in the second quarter of next year, said four sources familiar with the matter.
Bombardier shares settled five cents, or 3.1%, to $1.56.
Canadian Oil Sands recommended its shareholders reject Suncor Energy’s hostile takeover bid. Canadian Oil Sands asked its shareholders to reject the "undervalued, opportunistic and exploitive" Suncor offer. Following the hostile offer, Canadian Oil Sands adopted a poison pill to thwart Suncor's bid.
Oil Sands shares dropped 16 cents, or 1.6%., to $9.78.
Toronto-Dominion Bank has begun laying off staff in Canada and the United States as part of a company-wide initiative to cut costs, according to two sources familiar with the matter. It started the process by hiring Boston Consulting Group to examine ways to drive efficiencies.
TD shares inched up six cents to $52.41.
BMO cut the target price on Tourmaline Oil to $38.00 from $40.00, believe that investors should begin considering increased exposure to oil-leveraged equities but would continue to focus on companies with strong balance sheets that are able to generate growth without the help of rising commodity prices.
Tourmaline Oil shares settled 75 cents, or 2.4%, to $30.50
ON BAYSTREET
The TSX Venture Exchange gave back 0.31 points to 555.98
Eight of the 13 TSX subgroups were lower to begin the day, with metals and mining down 3.1%, energy down 1.8%, and materials off 0.9%
The five gainers were led by consumer staples, inching up 0.2%, while telecoms and real-estate each eked up 0.1%.
ON WALLSTREET
U.S. stocks traded mostly lower Monday, as investors prepare for a deluge of earnings while digesting Chinese economic data.
The Dow Jones industrial average erased 36.04 points to begin Monday at 17,179.93, led lower by Chevron and Nike leading advancers.
The S&P 500 slipped 5.82 points to 2,027.29, with energy leading all sectors lower.
The NASDAQ index lost 8.37 points to 4,878.11
McDonald's stock was added to Credit Suisse's "U.S. Focus List" and said it considered it one of its "top investment ideas."
United Continental has not updated the condition of CEO Oscar Munoz after being admitted to the hospital Thursday.
Over a fifth of S&P 500 companies are scheduled release quarterly results this week. Banking giant Morgan Stanley posted earnings per share 20 cents below estimates before the bell, with revenue also disappointing.
Hasbro and Halliburton also reported quarterly results ahead of Monday's open that beat analyst's expectations.
Investors also looked at housing data for more clues about the strength of the U.S. economy, with the latest NAHB/Wells Fargo Housing Market index reading coming in at its highest in a decade.
Wall Street will also digest remarks made by Federal Reserve officials Lael Brainard and Richmond Fed President Jeffrey Lacker at 10 a.m. ET and noon, respectively.
Overnight, China reported a third-quarter gross domestic growth figure of 6.9%, slightly above the expected 6.8%, but also its lowest in six years. China also reported industrial production rose 5%, below the expected 6% increase.
Prices for 10-year U.S. Treasuries lost a bit, raising yields to 2.04% from Friday’s 2.03%. Treasury prices and yields move in opposite directions.
Oil prices were down $1.09 a barrel to $46.17 U.S.
Gold prices sank $1.73 to $1,175.57 U.S. an ounce.
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