Canadian stocks bounced back from sharp losses on Wednesday as data showing continued improvement in the U.S. job market and stabilizing commodities prices helped ease selling pressure.
The S&P/TSX Composite Index finished the day ahead 51.53 points to 12,350.16
The Canadian dollar tacked on 0.36 cents to 100.20 cents U.S., after closing below parity Tuesday for the first time since Feb. 10.
PetroBakken Energy shares climbed $1.37, or 9.1%, to $16.41 after the oil firm said its fourth-quarter production rose about 16% and it raised its 2012 exit production forecast.
The mining sector recouped Tuesday declines as commodities prices stabilized. Shares of Inmet Mining Corp. increased $1.20, or 2.1%, to $58.58 and Great Basin Gold rose eight cents, or 10%, to 88 cents.
Health-care stocks fell, pressured by a 6.6% decline of Nordion Inc. shares to $9.50. The health-sciences company reported a net loss and an 18% drop in revenues in its fiscal first-quarter report on Tuesday.
In the financial sector, Bank of Nova Scotia shares decreased 25 cents, or 0.5%, to $52.69. The bank said Wednesday it agreed to buy U.S.-based energy investment boutique Howard Weil Inc. but didn’t disclose the price.
Quebec-based Laurentian Bank of Canada reported a lower-than-expected earnings and 16% decrease in profit in first-quarter earnings Wednesday and saw its shares fall 42 cents, or 0.9%, to $44.63.
Shares of apparel maker Lululemon Athletica were up $2.53, or 3.8%, to $68.58 after Credit Suisse lifted its target to $78 U.S. from $58 U.S. a share while raising its rating on Lululemon to outperform from neutral. Stifel Nicolaus and D.A. Davidson also boosted the company’s target price.
In other earnings news, Ontario-based auto parts manufacturer Linamar Corp. reported Tuesday that quarterly net income rose to $27 million or 42 cents per share on $718 million of sales. Its shares declined 22 cents to $18.18.
Patent licensing company Wi-LAN is raising its dividend to three cents per share, up 20% from the previous quarterly dividend level. Its shares climbed 16 cents, or 3.3%, to $5.06.
Elsewhere on the corporate front, Air Canada’s largest union has served notice that it intends to begin a strike on Monday, March 12 unless a new contract is signed by then.
The International Association of Machinists and Aerospace Workers represents about 8,600 mechanics, baggage handlers and cargo agents. The workers had rejected a tentative contract settlement signed in February. Air Canada shares slipped one cent to 92 cents
On the economic slate, Statistics Canada reported this morning that the value of building permits fell 12.3% to $6.0 billion in January, following a 10.5% rise in December.
ON BAYSTREET
The TSX Venture Exchange regained 16.80 points to 1,621.67, while the Nasdaq Canada index moved ahead 4.09 points to 406.89
All but two of the 14 Toronto subgroups were in the green by the close Consumer staples led the parade with a 1.5% gain, energy stocks gushed 1.2% higher, while industrials added 0.8%.
The lone laggards were health-care, 0.3% less robust, and financials, sagging 0.2%.
ON WALLSTREET
In New York, stocks bounced back Wednesday, a day after the biggest one-day selloff of 2012, as investors were heartened by the latest economic reports.
A labour market report signaling that private sector hiring is picking up steam helped bolster sentiment.
The Dow Jones Industrials ended the session 78.18 points higher to 12,837.30.
The S&P 500 gained 9.74 points to 1,353.10, while the Nasdaq added 25.37 points to 2,935.69
Still, the gains were modest as investors are largely waiting to see what the deal between Greece and its private-sector bondholders will look like. Greece and its private bondholders must officially agree to a crucial restructuring of the nation's debt this week, in order for Greece to avoid defaulting on its debt.
Meanwhile, investors are also waiting for Friday's release of the February jobs report to get a more detailed reading on the health of the U.S. economy.
Separately, Apple unveiled details of the third version of its iPad at a presentation in San Francisco. Shares of Apple are up 47% over the past year.
Shares of online radio service Pandora slumped more than 20%, after the company narrowly missed analyst expectations on quarterly earnings and revenue.
Netflix shares dropped in late afternoon, after an earlier run up on reports that CEO Reed Hastings is seeking a partnership with a cable company, and has held meetings with several providers in recent days.
Children's Place Retail Stores shares dropped, after the company reported a miss on quarterly revenue. The company attributed the results to warmer-than-expected weather that forced sharp markdowns on winter apparel.
Economically speaking, hiring in the private sector picked up in February, according to a report released Wednesday by payroll processor ADP. The private sector added 216,000 jobs in the month, which was roughly in line with forecasts.
A report on consumer credit for January was released. It showed that credit grew by $17.8 billion U.S. for the month, beating expectations of a $12-billion U.S. increase.
Treasury prices for the 10-year note sagged, raising yields to 1.97% from Tuesday’s 1.94%. Treasury prices and yields move in opposite directions.
Oil for February delivery gained $1.61 to $106.35 U.S. a barrel.
Gold futures for April delivery rose $14.00 to $1,686.10 U.S. an ounce.
