Toronto’s stock market straddled the breakeven line at noon on Friday, as investors continue to reel from disappointing economic numbers south of the border.
The S&P TSX Composite Index had settled 2.27 points to break for lunch at 12,462.05
The Canadian dollar gained 0.08 cents to 99.89 cents U.S.
Among Canadian stocks, Research In Motion Ltd. rose 3.3% to $16.82 by noon, after Fairfax Financial Holdings Ltd.'s Prem Watsa increased his holdings in the BlackBerry maker to a 5.12% stake
Elsewhere, in other earnings news, wood-based panels maker Norbord Inc. posted a $9-million loss in the fourth quarter, as the company continued to be affected by disappointments in the U.S. housing market.
Sales were $229 million, down from $240 million. Shares in the company demurred two cents to $10.02 by midday Friday.
ON BAYSTREET
The TSX Venture Exchange advanced 6.09 points to 1,620.86, while the Nasdaq Canada index moved up 5.90 points to 412.63.
In all, 10 of the 14 Toronto subgroups were negative midday. Financials faded 0.9%, while industrials and real-estate each slid 0.6%.
The four gainers were led by gold, up 2%, while information technology and materials climbed 1.5% each.
ON WALLSTREET
In New York, stocks retreated Friday as jittery investors digested a weaker-than-expected economic growth report and as Europe's debt crisis still loomed in the background.
The Dow Jones Industrials slipped 94.83 points by noon ET to 12,639.80.
The S&P 500 sank 4.01 points to 1,314.42, while the tech-rich Nasdaq Composite Index inched up 1.03 points to 2,810.72.
While the Nasdaq remains on track to log a fourth straight week of gains, the day's declines in the Dow and S&P put the indexes in the red for the week.
Friday's slump came as investors reacted to the government's first reading on fourth-quarter gross domestic product (see below)
Earnings reports were also weighing on the market on Friday.
Chevron was the worst performing stock on the Dow. Shares sank more than 3% after the company posted its biggest drop in quarterly earnings in two years and widely missed Wall Street's estimates.
Procter & Gamble was also a big decliner on the blue-chip index. Shares of the maker of Tide detergent, Crest toothpaste and Pringles fell after the company lowered its outlook for the year.
An 8% plunge in shares of DeVry led the S&P 500's slide. The for-profit educator's earnings plunged 90% and undergraduate enrollment continued to decline.
Starbucks was the biggest loser on the Nasdaq. While the coffee chain beat forecasts with strong earnings and revenue in its fourth quarter, shares slipped as investors were underwhelmed by the company's profit outlook for the future.
Ford, aided by a one-time gain, posted 2011 profit of $20.2 billion U.S. -- its biggest since 1998. But for the quarter alone, earnings missed forecasts, and shares tumbled.
On the flip side, shares of Newell Rubbermaid and Eastman Chemical were big gainers in the S&P 500 on the back of strong earnings.
Transocean shares rose after a federal judge cleared the company of some damages related to the Deepwater Horizon spill, because it was shielded by a contract with well-owner BP. BP shares slumped.
Anxiety also continues to loom over Greece's ongoing negotiations with private-sector creditors in an attempt to reduce its debt burden. Without an agreement, the country jeopardizes its access to bailout funds and might not be able to make a €14-billion debt payment due March 20.
On the economic beat, the University of Michigan's final installment of its January Consumer Sentiment Index rose to 75, up from an initial reading of 74. Economists were expecting the index to come in at 74.2.
The United States economy picked up speed at the end of 2011, growing at an annual rate of 2.8%, as consumers increased their spending. But the data fell short of the 3.2% forecast, based on a consensus of economists surveyed by Briefing.com.
Investors had been hoping for news that would back up growing optimism about the nation's economic recovery. Instead, the news seems to jive with the Federal Reserve's lower outlook for the economy.
The Fed announced Wednesday that it plans to keep the federal funds rate near zero until late 2014, because the recovery remains too slow to warrant higher interest rates any time soon.
Treasury prices for the 10-year note held firm, keeping yields unchanged from Thursday’s 1.93%.
Oil for February delivery was stronger by 21 cents to $99.91 U.S. a barrel.
Gold futures for February delivery rose $2.50 to $1,729.20 U.S. an ounce.
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