Stocks in Canada’s largest market rose for a fifth consecutive day on Thursday, with the nation’s benchmark on the brink of erasing declines for the year, as consumer companies climbed amid better-than-expected earnings while energy shares fell.
The S&P/TSX Composite Index moved ahead 64.2 points to close the day at 12,931.36.
The Canadian dollar dropped 0.41 cents to 72.73 cents U.S.
The index has pared losses for the year to less than 1%, making it the best-performing developed market, after being among the worst in 2015
Barrick Gold Corp. gained $1.10, or 6.8%, to $17.36, after the gold miner posted better-than-expected earnings and said it intends to cut at least $2 billion in debt this year. Goldcorp was up $1.25, or 6.1% to $21.68.
First Quantum Minerals Ltd. tumbled 55 cents, or 11.2% to $4.36. The copper miner was cut by BMO Capital Markets an Canaccord Genuity to the equivalent of a hold, following the stock’s 67% rally in the last three days.
Among onsumer stocks, Cott Corp., a beverage maker, jumped 99 cents, or 7.3% to $14.64, after unexpectedly posting a fourth-quarter profit of three cents a share. Analysts had estimated a loss of two cents.
Canadian Tire Corp. rallied $9.08, or 7.8%, to $125.63 heading for its highest level since Dec. 9, after announcing a share buyback of up to six million Class A shares.
Industrial companies fluctuated through the trading sessions, finishing narrowly down. Finning International Inc. slumped 35 cents, or 1.9%, to $18.32, the biggest loss since November, after the company posted disappointing quarterly results and announced a cut of between 400 and 500 jobs.
Canadian National Railway Co. added 30 cents to $78.51, its highest level since December.
Among energy plays, Encana Corp. sank 48 cents, or 9% to $4.85.
On the economic front, Statistics Canada reported that Canadians receiving regular Employment Insurance benefits totaled 539,800 in December, down 0.5% from the previous month.
What`s more, the agency told us that wholesale sales rose 2.0% to $57.2 billion in December. Gains were recorded in four of seven sub-sectors, led by motor vehicle and parts. Excluding this sub-sector, wholesale sales edged up 0.1%. In volume terms, wholesale sales increased 1.8% in December.
ON BAYSTREET
The TSX Venture Exchange vaulted 7.84 points to 525.88
Nine of the 13 TSX subgroups were higher on the day, with gold soaring 5.5%, materials up 3.7%, and telecoms up 1.6%
The four laggards were weighed most by metals and mining, down 4.1%, energy, off 1.4%, and information technology, off 0.4%.
ON WALLSTREET
U.S. stocks closed lower Thursday, stabilizing after their largest three-day gain since August, as investors eyed oil prices and corporate news
The Dow Jones industrial average 40.4 points to close at 16,413.43, as a rise in shares of IBM countered declines in Goldman Sachs and Wal-Mart.
The S&P 500 slid 9.59 points to 1,917.23, with financials leading eight sectors lower and utilities and telecommunications advancing.
The NASDAQ index 46.52 points, or 1%, to 4,487.54, as Apple and Netflix declined
IBM, the top contributor to gains in the Dow, held more than 5% higher in afternoon trade. Morgan Stanley upgraded IBM to overweight from equal-weight and raised its price target to $140 from $135 U.S. on underappreciation of IBM's increased focus on its analytics and cloud businesses.
Separately, IBM Watson Health announced plans to acquire Truven Health Analytics for $2.6 billion U.S.
Wal-Mart was among the greatest weights on the Dow. The stock held about 2% lower in afternoon trade after earlier falling more than 5% as its quarterly results and forecast were pressured by the strong U.S. dollar.
Wal-Mart beat estimates by three cents with adjusted quarterly profit of $1.49 per share, but revenue was shy of estimates as the company battled the effects of a stronger dollar. The retail giant also trimmed its full-year revenue forecast based on the U.S. currency's continued strength. The company also raised its annual dividend to $2 a share from $1.96 U.S. a share.
Economically speaking, weekly jobless claims came in at 262,000.
The Philly Fed index came in at minus 2.8 for February. The index has held in negative territory since September.
Leading indicators in January showed a decline of 0.2%, after a downwardly revised December report of a 0.3% drop
Prices for the 10-year Treasury gained ground, lowering yields to 1.74% from Wednesday’s 1.81%. Treasury prices and yields move in opposite directions.
Oil prices settled 35 cents a barrel to $30.31 U.S.
Gold prices bolted higher $26.65 to $1,235.15 U.S. an ounce.
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