Canada’s main stock index was muted at open on Friday as losses from technology companies offset gains made by precious metal miners on the back of higher gold prices.
The TSX Composite Index docked 4.75 points in Friday’s first hour to 16,364.57
Alberta said on Thursday its provincial budget deficit would increase in the 2019-20 fiscal year because of a provision made for potential losses on crude-by-rail contracts that were signed by the previous government.
CannTrust Holdings will temporarily cut its workforce by about a quarter, or roughly 140 people, the company said on Thursday, seeking to recoup losses after Health Canada suspended its license to grow and sell cannabis.
CannTrust retreated 10 cents, or 5.8%, to $1.64.
National Bank of Canada raised the target price on Agnico Eagle Mines to $102 from $100. Agnico shares picked up $1.75, or 2.3%, to $77.02
CIBC cut the rating on Hexo Corp to underperform from neutral. Hexo ditched 13 cents, or 3.9%, to $3.18
ON BAYSTREET
The TSX Venture Exchange recovered 3.99 points to 546.83
Seven of the 12 Toronto subgroups were down in the first hour, as information technology doffed 0.9%, while energy and industrials each lost 0.5%.
The five gainers were led by gold and materials, each up 1.8%, and health-care, up 1.2%.
ON WALLSTREET
Stocks hovered along the flatline on Friday as investors digested disappointing quarterly results from Amazon to wrap up a busy week of earnings.
The Dow Jones Industrial Average recovered 52.19 points to 26,857.72
The broader S&P 500 dropped 0.34 points to 3,010.02
The NASDAQ Composite Index subtracted 1.86 to 8,183.12
The major averages were headed for weekly gains through Thursday’s close. The Dow was up 0.1% for the week entering Friday’s session. Meanwhile, the S&P 500 was up 0.8%, and NASDAQ was up 0.8% and 1.2%.
Amazon disappointed investors with its third-quarter results sending the stock down more than 3%. Weak guidance for the holiday season period also drove down the stock.
Amazon’s results followed a mixed batch of reports from companies such as Microsoft, Tesla, 3M and Twitter. Microsoft and Tesla rose
Thursday on better-than-expected results. However, 3M and Twitter slid on the back of their reports.
Other companies reporting quarterly numbers this week included Intel, Visa and Verizon.
Intel shares rose 5% on the back of better-than-expected earnings and revenue. The chipmaker’s fourth-quarter guidance was also above estimates.
Visa posted revenue and profit that topped estimates, but the stock slid 1%. Verizon, meanwhile, dipped 1.4% on earnings.
More than 38% of S&P 500 companies posted quarter earnings for the third quarter thus far. Of those companies, 78% have beaten analyst expectations. This week was one of the busiest of the earnings season, with more than 120 companies reporting.
On the data front, consumer sentiment figures were due out this morning.
Prices for the benchmark 10-year U.S. Treasury increased, lowering yields to 1.75% from Thursday’s 1.75%. Treasury prices and yields move in opposite directions.
Oil prices docked 20 cents to $56.03 U.S. a barrel.
Gold prices added 12 dollars to $1,516.70 U.S. an ounce.
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