The Toronto stock market moved slightly higher Wednesday morning while a profit warning from package delivery giant FedEx added to worries about a slowing economy and what central banks can do about it.
The S&P/TSX Composite index moved up 34.63 points to greet noon at 11,976.33
The Canadian dollar slid 0.43 cents to 100.99 cents U.S.
The loonie seemed unaffected by Tuesday’s Quebec election which saw the pro-independence Parti Quebecois win the contest, but only securing a minority government.
The gold sector gained as Goldcorp Inc. added 36 cents to $40.43.
Financials were also supportive with TD Bank ahead 59 cents at $80.83.
The energy sector was stronger with Imperial Oil climbed 20 cents to $45.27.
The base metals sector edged up while December copper on the Nymex was up five cents at $3.52 U.S. a pound. First Quantum Minerals gained 22 cents to $19.35 while Major Drilling Group lost 13 cents to $8.85.
Utilities led decliners as TransAlta fell 50 cents to $14.18.
TransCanada Corp. says it has submitted a supplemental environmental report to Nebraskan authorities on the preferred alternative route for its Keystone XL pipeline.
TransCanada says the filing reflects feedback both from state regulators and the public. It also respects state timelines and the overall regulatory process for determining a reroute of the controverisal pipeline as requested by the U.S. State Department. TransCanada shares dipped seven cents to $44.81.
For the 16th consecutive policy meeting, the Bank of Canada has decided to keep its benchmark target for the overnight rate steady at 1%, but, in virtually the next breath, bank Governor Mark Carney hinted at rate hikes in the near future, adding that the world's economy is expanding at roughly the pace Canada's central bank was anticipating.
ON BAYSTREET
The TSX Venture Exchange regained 2.17 points to 1,244.75.
Of the 14 Toronto subgroups, nine were positive at noon, led by the metals and mining sector, up 0.8%, while gold and materials gained 0.7%.
The four laggards were weighed mostly by utilities, down 0.7%, industrials, down 0.2%, and global base metals, off 0.1% Health-care stocks were flat at noon time.
ON WALLSTREET
U.S. stocks drifted in a narrow range Wednesday, as investors wait to take cues from jobs numbers due out Friday. All eyes are also focused on whether the European Central Bank acts to protect the euro when it meets Thursday morning.
The Dow Jones industrial average regained 30.12 points to break for lunch at 13,066.10.
The S&P 500 index picked up 1.26 points to 1,406.20, and the tech-heavy Nasdaq Composite Index was higher by 3.06 points to 3,078.12.
Disney led gainers on the Dow, rising 2.6% to a new 52-week high. American Express was the main laggard, falling 2%.
Dollar General raised its outlook for the remainder of the year after reporting better-than-expected second-quarter earnings. Net income for the discount retailer also increased nearly 50% from the same quarter last year.
Safeway announced plans to file for an initial public offering for its prepaid gift card business, Blackhawk Network Holdings. Shares of the California-based grocery chain rose 6%.
Shares of FedEx fell after the company said Tuesday it would cut its outlook for the quarter, citing weakness in the global economy. The news also dragged down shares of rival UPS
The U.S. Justice Department accused British Petroleum of being "grossly negligent" in its handling of the Deep Water Horizon oil spill in 2010, which could significantly raise the company's legal liability.
After hitting another all-time low on Tuesday, Facebook shares edged higher after CEO Mark Zuckerberg said Tuesday he will not sell his shares for a year.
U.S.-listed shares of Nokia fell 14% after the Finnish mobile-phone maker unveiled its latest smartphone. The new Lumia 920 runs on Windows 8, the latest version of Microsoft's mobile platform.
Apple shares edged higher, after the company announced an event for Sept. 12 at which it is widely expected to introduce a new iPhone.
Investors are expecting ECB President Mario Draghi to announce the details of a new bond-buying program for euro area governments that agree to certain terms. The program will involve unlimited purchases of bonds, which will be "sterilized" to ease concerns about printing money, according to Bloomberg.
Investors are also keeping a close watch on all economic numbers ahead of the Federal Reserve's Sept. 12-13 policy meeting, since the reports will likely influence the central bank's decision on whether it will announce more quantitative easing.
On the economic slate, the U.S. Labor Department said worker productivity in the non-farm business sector increased at a 2.2% annual rate in the second quarter.
The price on the benchmark 10-year U.S. Treasury stepped back a bit, raising yields to 1.59% from Tuesday’s 1.58%. Treasury prices and yields move in opposite directions.
Oil prices for September delivery fell 13 cents to $95.17 U.S. a barrel.
Gold futures for December delivery lost 20 cents to $1,695.80 U.S. an ounce.
