The Toronto stock market was slightly lower as commodity prices retraced some of the strong gains from the previous session.
The S&P/TSX Composite Index broke for lunch on Wednesday down 25.51 points to 12,111.43
The Canadian dollar flattened by 0.01 cents, to 100.96 cents U.S.
Shares in Canada’s largest convenience store chain, Quebec-based Alimentation Couche-Tard Inc., surged $4.74 or 13.8% to $39.04 as the company said it was buying a Scandinavian convenience and fuel retailer for $2.8 billion. Statoil Fuel & Retail is the top Scandinavian convenience and fuel retailer with about 2,300 full-service or automated stations.
Illinois-based SXC Health Solutions Corp. is paying $4.4 billion U.S. in cash and stock to acquire Catalyst Health Solutions, Inc. in a friendly deal between the two payment processing companies.
SXC’s headquarters are in Lisle, Ill., but it has multiple locations in the United States and Canada. SXC shares ran ahead $7.15 or 9%, to $86.78.
Imperial Oil gave back 38 cents to $44.73.
Tech stocks were also weak with Celestica Inc. down nine cents to $8.79.
The gold sector was off as Goldcorp Inc. faded 43 cents to $40.91.
The base metals sector was up even as copper prices dipped three cents to $3.62 U.S. a pound, giving up Tuesday’s two-cent advance. Ivanhoe Mines ran ahead $1.09 or 9.37% to $12.72.
ON BAYSTREET
The TSX Venture Exchange dipped 2.59 points to 1,419.71, while the Nasdaq Canada index added 3.10 points to 409.72
Of the 14 Toronto subgroups, 10 were higher, led by health-care stocks, up 2.1%, by consumer staples, ahead 1.6%, and global base metals, 0.7% stronger.
The four laggards were weighed mostly by information technology, off 1.3%, gold, down 1%, and materials, dipping 0.9%.
ON WALLSTREET
In New York, stocks pulled back modestly Wednesday, as investors found new reasons to worry about Europe's economy. Less-than-stellar earnings from two big tech companies added to the sluggishness.
The Dow Jones Industrials dipped 49.65 points to 13,065.89, at noon ET.
The S&P 500 shed 3.89 points to 1,386.89, and the Nasdaq subtracted 11.89 points to 3,030.93
Spain released data showing that Spanish banks held more problem loans than expected, sending its stock market down and causing other European markets to fall.
That news only added to worries over whether the government in Madrid may be forced to seek a bailout. On Wednesday, German two-year debt reportedly sold at a record-low yield, with investors fleeing to the perceived safety of Europe's largest economy amid the troubles elsewhere.
The yield on the German two-year note sat at 0.14% early Wednesday. Meanwhile, Spanish bond yields have been trending higher recently, with the 10-year note hovering just under 6%.
Several tech heavy-hitters released first-quarter earnings after Tuesday's closing bell.
Shares of IBM dropped after its earnings beat analysts' estimates but missed on sales. Intel's sales and earnings beat expectations, but the stock also fell Wednesday.
Overall, earnings have largely been better than expected.
Of the 56 companies in the S&P 500 that have reported their quarterly results thus far, 44 have beat analyst estimates, with seven matching and just five coming up short, according to observers
U.S. stocks rallied Tuesday as worries about Europe eased and investors parsed the latest round of corporate results. The Dow and S&P 500 posted the best one-day gains since March 13; the Nasdaq had the best gains since December 20, 2011.
Yahoo reported profits late Tuesday that topped analyst estimates, sending shares higher Wednesday as investors hope the turnaround strategy of new CEO Scott Thompson will work.
Financial stocks were back in the spotlight Wednesday, with several notable firms reporting earnings.
Bank of New York Mellon reported its quarterly results before the opening bell, posting earnings and revenue in line with analyst expectations. PNC reported earnings of $1.44 U.S. a share, in line with expectations, on $3.73 billion U.S. in revenue.
First Republic Bank beat on revenue and reported earnings in line with expectations. The firm also announced that it was initiating a quarterly dividend of 10 cents U.S. a share.
Asset manager BlackRock posted earnings of $3.16 U.S. a share, beating analyst projections of $3.04 U.S., on $2.25 billion U.S. in revenue.
Oilfield services giant Halliburton also reported better-than-expected earnings, sending shares higher.
After Wednesday's close, investors will get the latest numbers from American Express, eBay and YUM! Brands
Analysts predict American Express will post earnings of $1 U.S. a share, while eBay's earnings are expected to come in at 56 cents per share. YUM! is expected to post earnings of 73 cents U.S. a share.
The price on the benchmark 10-year U.S. Treasury perked, pushing the yield down to 1.98% from Tuesday’s 2.01%. Treasury prices and yields move in opposite directions.
Oil for May delivery slipped $1.47 to $102.74 U.S. a barrel.
Gold prices sank $10.30 an ounce to $1,640.80 U.S.
