Equities in Canada’s biggest centre were lower on Thursday, as declines in financials and consumer cyclical companies weighed, but strong gains in energy shares that benefited from a rally in oil prices kept further losses in check.
The S&P/TSX Composite Index surrendered 32.08 points to roll into noon hour at 15,497.89
The Canadian dollar dropped 0.04 cents to 79.15 cents U.S.
The energy sector, which accounts for nearly a fifth of the index's weight, advanced, helped by a 78-cent, or 1.7%, rise in shares of Canadian Natural Resources and other oil and gas producers. CNQ’s price registered at $45.90.
Gold prices dipped as dollar rose and global geopolitical tensions declined. Barrick Gold's unit, Acacia Mining, reported that its profit halved in the first quarter mainly due to lower production at its flagship mine.
The biggest percentage gainer on the TSX was Trican Well Service, which rose 12 cents, or 3.7%, to $3.39, while the largest decliner was Interfor Corp, down $1.29, or 5.1%, to $23.88.
Neovasc Inc, Athabasca Oil Co and Aurora Cannabis were among the most active Canadian stocks by volume.
On the economic front, Statistics Canada reported that the number of regular Employment Insurance beneficiaries decreased by 11,300, or 2.3%, in February to 480,200, the lowest level since comparable data became available in 1997.
ON BAYSTREET
The TSX Venture Exchange settled 1.42 points to 801.18
All but two of 12 TSX subgroups were lower midday, with health-care subsiding 1.3%, materials down 0.7%, and consumer discretionary off 0.6%.
The two gainers were energy, up 1.2%, and telecoms, nosing ahead 0.1%.
ON WALLSTREET
U.S. stocks traded lower on Thursday after a major Asian chipmaker delivered a disappointing forecast which dragged the technology sector lower. Investors also fretted over rising interest rates.
The Dow Jones Industrial Average thundered lower 139.05 points to 24,609.02, with Apple among the worst-performing stocks in the index.
The S&P 500 lost 23.62 points to 2,685.02, with technology falling 1.1%
The NASDAQ Composite index let go of 72.08 points, or 1%, to 7,223.15
Taiwan Semiconductor Manufacturing said Thursday it expects second-quarter revenue to range between $7.8 billion and $7.9 billion, well below a Wall Street consensus estimate of $8.8 billion.
The announcement weighed on the entire technology sector. Shares of Apple fell 2.2%, while Nvidia, Micron and Advanced Micro Devices all fell at least 2%.
The corporate earnings season continued on Thursday, as Procter & Gamble, Bank of New York Mellon and Blackstone all reported better-than-expected earnings.
Earnings have been strong thus far. According to Thomson Reuters I/B/E/S, 79% of the S&P 500 companies that had reported through Wednesday morning surpassed earnings expectations. Meanwhile, 83% of those companies topped sales estimates.
Elsewhere in corporate news, Amazon CEO Jeff Bezos revealed the company has 100 million Prime members in his annual letter to shareholders. The stock rose 2%.
In data news, weekly jobless claims totaled 232,000, slightly more than expected. The Philadelphia Fed index hit 23.2 for April, higher than estimates of 20.
Prices for the benchmark 10-year Treasury note faltered, raising yields to 2.93% from Wednesday’s 2.88%. Treasury prices and yields move in opposite directions.
Oil prices gained 62 cents a barrel to $69.09 U.S.
Gold prices fell nine dollars to $1,344.50 U.S. an ounce.
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