Toronto's main stock index looked set to open higher on Thursday, after European Central Bank President Mario Draghi said the central bank will do whatever is necessary to protect the euro, triggering speculation that some major central banks will move to boost the slowing world economy.
The S&P/TSX Composite index recovered 25.56 points to end Wednesday’s session at 11,492.51. Canada futures jumped 0.8% this morning
The Canadian dollar inched forward 0.82 cents this morning to 99.29 cents U.S.
Among Canadian stocks to watch, Barrick Gold Corp, the world's largest gold miner, on Thursday reported a 35% decline in second-quarter profit and warned capital costs on one of its biggest growth projects will be much higher than previously forecast.
Potash Corp, the world's largest fertilizer maker, reported a 38% drop in second-quarter profit on Thursday, mainly due to one-time charges and weaker results from its phosphate business.
MEG Energy Corp, a Canadian oil sands company, reported a 70% all in quarterly operating profit on lower bitumen prices.
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.
ON WALLSTREET
U.S. stocks futures moved sharply higher Thursday after European Central Bank President Mario Draghi said the central bank would do whatever it takes to preserve the euro.
Speaking at an investment conference in London, Draghi's comments suggest the ECB may start buying bonds again in an effort to help bring down skyrocketing borrowing costs.
Futures for the Dow Jones vaulted 152 points, or 1.2%, to 12,789, about 30 minutes before the opening bell. Futures for the S&P 500 gained 18.1 points, or 1.4%, to 1,353, and for the Nasdaq, futures jumped 36.75 points, or 1.4%, to 2,580.25
Thursday also brings a fresh batch of corporate results for investors to sift through.
Exxon Mobil's profit surged 49% to $15.9 billion U.S. during the second quarter. The massive number -- which would be by far the highest quarterly profit ever for any company, including a special gain for divestitures. Shares of Exxon edged higher.
The most anticipated numbers of the day, however, won't come until after the bell, when Facebook reports its first set of quarterly results as a public company.
Europe's debt crisis remains a significant headwind for global markets. Investors have been growing increasingly convinced that Spain will need a sovereign bailout. Though Spain's 10-year yield has pulled back near 7%, after touching an all-time high of 7.75% Wednesday, the country's borrowing costs remain unsustainably high.
European stocks jumped after Draghi's comments, with all three indexes up more than 1%. Britain's FTSE 100 rose 1.1%, the DAX in Germany added 1.3% and France's CAC 40 surged 2.2%.
Asian markets ended mixed. The Shanghai Composite lost 0.5%, while the Hang Seng in Hong Kong ticked up 0.1% and Japan's Nikkei rose 0.9%.
Oil for September delivery rose 73 cents to $89.70 U.S. a barrel.
Gold futures for August delivery fell $11.00 to $1,619.10 U.S. an ounce.
