The Toronto stock market came out from the shadows Wednesday afternoon, even amid mixed earnings news from Canada and the U.S. and disappointing data from the U.S. housing sector.
The S&P/TSX Composite index recovered 25.56 points to end Wednesday’s session at 11,492.51
The Canadian dollar added 0.67 cents to 98.50 cents U.S.
The metals and mining sector dipped while copper prices were up two cents to $3.37 U.S. a pound.
Teck Resources slid $2.11 or 7.2% to $27.30 as it reported an adjusted profit of $312 million, or 53 cents per share, in the second quarter compared with $663 million, or $1.12 per share, in the same period in 2011. The slide came amid a weakening of base metal prices during the quarter. Quarterly revenues were $2.6 billion, compared with $2.8 billion a year ago.
Teck also warned of tough times ahead due to economic uncertainties in Europe and the United States and less robust growth rates in emerging markets including China.
The energy sector stepped back as Cenovus shares fell 86 cents to $31.24 as its profits dropped 40% in the second quarter to $396 million as it faced weaker oil and gas prices.
The consumer staples sector was also weak, reflecting lower earnings at grocer Loblaw Cos. Ltd.
The company reported quarterly net earnings of $159 million or 57 cents a share, down almost 19% compared to the same period in 2011 and missing estimates by five cents and its shares lost 52 cents to $31.40.
The gold sector advanced, as Barrick Gold Corp. gained 56 cents to $34.32.
The industrials sector was up slightly amid earnings from the country’s two big railways.
CN Rail reported adjusted earnings per share came in at $1.50, beating analyst estimates by two cents. But chief executive Claude Mongeau acknowledge that there could be an economic slowdown in the United States in the second half of this year and said he’s also keeping an eye on China’s economy. CN shares slipped 54 cents to $86.77.
Canadian Pacific Railway Ltd. said adjusted earnings were 90 cents per share, beating analyst expectations by seven cents and its shares climbed $3.73, or 5%, to $78.79.
ON BAYSTREET
The TSX Venture Exchange was up 5.85 points to 1,172.32. The Nasdaq Canada index eked up 0.83 points to 330.08.
Nine of the 14 Toronto subgroups were down on the day, with metals and mining decreasing 1.8%, while global base metals and utilities each slumping 1.1%.
The five gainers were led by gold, up 2.9%, while materials prospered 1.5%, and industrials took on 1.2%.
ON WALLSTREET
U.S. stocks moved higher Wednesday afternoon, as investors sorted through a batch of earnings reports, including solid results from Boeing, and a big miss from Apple.
The Dow Jones industrial average grew 58.73 points to 12,676, snapping three days of losses. AT&T and Boeing were leading the way. The airplane maker topped earnings forecasts and boosted its guidance for the year.
Caterpillar was initially the best performer on the Dow, as investors cheered the manufacturing giant's earnings beat and rosy outlook. The stock slid somewhat after an executive said that the construction industry in China remains weak and has yet to show improvement.
The S&P 500 retreated 0.41 points to 1,337.90, positive results from chipmakers Altera and Broadcom helped pull the index closer to breakeven.
The Nasdaq doffed 8.75 points to 2,854.24, due largely to Apple's earnings miss. Apple is the biggest component of the tech-heavy index by far, and shares fell more than 4%.
Ford's second-quarter profit dropped 57% to $1 billion U.S., hurt by a loss in the company's European operations. Shares of Ford were trading lower.
PepsiCo shares rose after it reported better-than-expected earnings before the opening bell. But, like many global companies, its revenue was hurt by unfavorable currency exchange rates.
Nasdaq, which has been in the spotlight since Facebook's botched market debut in May, also reported results. The exchange operator's revenue and profit rose slightly during the quarter and topped expectations. Shares were higher.
Numbers are due from Visa and Zynga after the bell.
Shares of Symantec jumped after the security software company ousted CEO Enrique Salem, and named chairman Steve Bennett as his replacement.
Economically speaking, a report from the Census Bureau showed that new home sales for June fell 8.4% to an annual rate of 350,000 units from 382,000 in May. Sales were expected to have come in at an annual rate of 373,000 units, according to a survey of economists by Briefing.com.
The price on the benchmark 10-year U.S. Treasury lost a bit ground, raising yields to 1.41% from Tuesday’s 1.40%. Treasury prices and yields move in opposite directions.
Oil for September delivery picked up 39 cents to $88.89 U.S. a barrel.
Gold futures for August delivery rose $26.20 to $1,602.40 U.S. an ounce.
