Markets in Toronto found their way into the green by the closing bell Thursday, as stronger prices for health-care and energy stocks overrode a woozy showing by financials.
The S&P/TSX Composite Index ended the day up 24.43 points to 13,775.90
The Canadian dollar fell 0.10 cents to 102.19 cents U.S.
TD Bank’s profits grew to $1.33 billion in the second quarter from $1.18 billion. However, the results missed analyst expectations, with TD posting adjusted earnings per share of $1.59, missing forecasts by a penny. TD shares shed $1.27 to $84.02.
CIBC shares fell $3.30 to $81.15 as it reported net income of $678 million or $1.60 per share for the second quarter, compared with net earnings of $660 million or $1.59 a year ago. On an adjusted basis, the earnings were $1.75, about five cents below expectations.
National Bank of Canada reported second-quarter net income of $295 million or $1.48 per diluted share, compared with $261 million or $1.50 in the same 2010 period. The bank is also raising its common share dividend for the quarter ending July 31 to 71 cents from 66 cents but its shares fell 17 cents to $80.70 even as it beat earnings and revenue expectations.
The base metals sector was down as the July copper contract was off two cents at $4.09 U.S. First Quantum gave back $1.00 to $131.00.
Lundin Mining Corp. shares tumbled $1.48 or 17.3% to $7.08 after it said Wednesday that it will remain an independent company, after its board of directors and financial advisors wrapped up a strategic review without finding a compelling deal to pursue. The strategic review was launched after a proposed friendly tie-up with Inmet Mining Corp. was abandoned in March.
In the gold sector, Barrick Gold Corp. recovered 23 cents to $46.35 while Kinross Gold Corp. eked up three cents to $15.02.
Suncor Energy gained 73 cents to $41.10 and Cenovus Energy was up 46 cents at $35.48.
The Maple Group Acquisition Corp., a consortium of Canadian pension funds and banks, is taking its hostile $3.6-billion bid for TMX Group directly to its shareholders. The move late Wednesday came after the stock exchange operator accelerated a shareholder vote on its favoured plan to merge with the London Stock Exchange. TMX shares gained 69 cents to $44.26.
In other earnings news, media company Quebecor Inc. said first-quarter profits slipped to $34.3 million, as its revenues grew 4.5%. On an adjusted basis, earnings were 56 cents per share, two cents below expectations and its shares gained $1.05 cents to $34.10.
On the economic front, Statistics Canada reported this morning that Canadians who worked made slightly more from what they did in March than the month before.
The nation’s number crunchers reported that from February to March 2011, average weekly earnings of non-farm payroll employees increased 0.5% to $876.53. On a year-over-year basis, average weekly earnings were 4.1% higher compared with March 2010
ON BAYSTREET
The TSX Venture Exchange gained 23.03 points to 2,072.04 while the Nasdaq Canada index advanced 6.27 points to 667.28
In Toronto, all but two of the 14 subgroups were up on the day. Health-care issues surged 1.5%, while energy and information technology stocks moved up 0.9% each.
The two laggards were metals and mining, down 1.2%, and financials, off 0.6%.
ON WALLSTREET
In New York, stocks were modestly positive Thursday as momentum in the technology sector offset disappointing reports on economic growth and the labour market.
The Dow Jones industrial average struggled up 8.10 points by the closing bell to 12,402.80. Dow had been down more than 70 points earlier in the session.
The S&P 500 moved north 5.22 points to 1,325.69. The Nasdaq Composite Index picked up 21.54 points to 2,782.92.
Stocks posted modest gains Wednesday, but are in negative territory for the week overall.
Technology shares helped offset broader market losses, with technology blue chips Microsoft and Hewlett-Packard rising 2% and 1% respectively. Microsoft shares were higher after large shareholder David Einhorn called for Microsoft CEO Steve Ballmer to step down.
Among other tech names, NetApp shares jumped 9% after the data storage company reported strong quarterly results late Wednesday and issued an upbeat outlook for the current quarter.
The biggest decliners among the blue chips were Merck and Home Depot, which were both down roughly 1%.
Stocks have been struggling this month, as optimism over upbeat corporate earnings has been tempered by signs the economy could be entering a slowdown this summer.
Evidence of a weaker economy was prevalent in two economic reports released Thursday morning.
Shares of Tiffany & Co. rose more than 8%, making it the best performer on the S&P 500, after the luxury jeweler reported a 12% jump in sales. The company also hiked its quarterly dividend payment to 29 cents U.S. per share from 25 cents U.S.
Signet Jewelers also fared well, with its stock rising nearly 4%. The retailer, which operates Kay Jewelers, Jared, The Galleria Of Jewelry and chains in the U.K., got a big boost from U.S. sales in its latest quarter.
Shares of MasterCard rose 7%, following a joint announcement by Google -- along with MasterCard and Sprint -- of a new mobile payment system called Google Wallet.
Computer Sciences Corp.'s shares dropped 14%, after the company's quarterly results came in short of expectations. The company said it earned an adjusted profit of $1.01 U.S. a share, while analysts were looking for $1.16 U.S. a share.
Freescale Semiconductor priced its initial public offering at $18 U.S. a share, below its estimated range of between $22 and $24 U.S. per share. Shares rose 6% following its IPO.
Economically speaking, the number of Americans filing first-time claims for unemployment benefits rose 10,000 to 424,000 in the most recent week, the U.S. Labor Department said.
Economists were expecting 400,000 initial claims, according to consensus estimates from Briefing.com.
Separately, the government's revised reading on first-quarter U.S. gross domestic product was unchanged from the initial report. The Commerce Department said GDP, the broadest measure of economic activity, grew 1.8% over the same quarter a year ago.
Economists had expected the figure to be revised up to 2%.
The price on the benchmark 10-year U.S. Treasury gained ground, pushing the yield down to 3.06% from 3.13% late Wednesday. Treasury prices and yields move in opposite directions
Oil prices dropped $1.04 to $100.28 U.S. a barrel.
Gold futures for June delivery slid $6.30 to $1,521 U.S. an ounce.
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