Stock markets in Canada were fairly flat at the opening bell on Thursday amid market uncertainty caused by the resignation of Liz Truss as prime minister of the U.K., although strong performances by energy stocks limited losses.
The TSX Composite recovered 12.23 points to open Thursday at 18,686.63.
The Canadian dollar gathered 0.28 cents to 72.88 cents U.S.
The TSX snapped a two-day rally on Wednesday, largely driven by earnings optimism as data showed inflation in Canada edged lower in September but still surpassed forecasts and was well above the Bank of Canada's target.
That spurred expectations that the bank would hike interest rates by 75 basis points instead of 50 basis points at its policy meeting next week, even as recession worries intensify.
ON BAYSTREET
The TSX Venture Exchange edged up 0.15 points to 587.54.
Seven of the 12 TSX subgroups were negative in the first hour, with materials, gold and utilities each down 0.5%.
The five gainers were led by energy, up 1.6%, information technology, advancing 1.2%, and communications, up 0.4%.
ON WALLSTREET
Stocks rose on Thursday as investors weighed several key earnings reports and kept an eye on the bond market, where Treasury yields continue to climb.
The Dow Jones Industrials shot higher 220.55 points to 30,644.36.
The S&P 500 improved 17.13 points to 3,712.32.
The NASDAQ climbed 72.7 points to 10,753.20.
Several strong earnings reports were supporting the market, with AT&T gaining 4.7% and IBM rising 2.8%, after beating estimates on the top and bottom lines for their most recent quarter.
On the downside, Tesla shares dropped almost 6% after the electric vehicle maker said Wednesday evening it expects to miss its 2022 deliveries target. The company also posted a quarterly revenue that missed analyst expectations.
On the economic front, the weekly jobless claims showed a surprise decline in initial filings, but the Philadelphia Fed index showed a contracting manufacturing sector.
Treasury prices edged off a bit, raising yields to 4.16% from Wednesday’s 4.13%. Treasury prices and yields move in opposite directions.
Oil prices hiked $2.50 to $88.05 U.S. a barrel.
Gold prices acquired $3.90 to $1,638.10 U.S. an ounce.
