Markets in Toronto index opened higher on Wednesday, as remarks from Chinese Communist Party chief Xi Jinping raised hopes for stable growth in the world's second-largest economy.
The S&P/TSX composite index reversed course and gained 12.68 points to 12,149.86
The Canadian dollar was up 0.02 of a cent to 100.73 cents U.S.
China will maintain its fine-tuning of economic policies in 2013 to ensure stable economic growth, state television quoted Chinese Communist Party chief Xi Jinping as saying.
A consortium led by Canadian private equity firm KingSett Capital said it plans to make an offer to acquire Primaris Retail Real Estate Investment Trust in a deal valued at about $4.4 billion. Shares in Primaris rocketed $3.13, or 13.6%, to $26.17 soon after the opening bell
Canadian Pacific Railway Ltd said it would cut 4,500 jobs by 2016 as part of a drive by its new CEO to slash costs and improve its operating efficiency, now the industry's worst. CP shares gained $3.55, or 3.8%, to $96.55
B&A Mineração SA, the mining venture co-founded by former Vale SA CEO Agnelli and investment bank BTG Pactual Group, has offered to buy Rio Verde Minerals Development Corp, according to a source with direct knowledge of the situation. Rio Verde shares dropped two cents to 34.5 cents
ON BAYSTREET
The TSX Venture Exchange eased 3.79 points to 1,189.07.
Nine of the 14 Toronto subgroups were higher at the outset, led by real-estate, up 1.1%, metals and mining, ahead 0.9%, and industrials, gaining 0.8%.
The five laggards were weighed mostly by gold, off 1.7%, materials, sliding 0.9%, and information technology, ticking 0.3% lower.
ON WALLSTREET
U.S. stocks were mixed early Wednesday as investors remain cautious ahead of jobs data due later this week and an uncertain outlook for taxes.
The Dow Jones Industrials was down 13.82 points to 12,951.80
The S&P 500 fell 2.41 points to 1,407.05 and the Nasdaq Composite Index dropped 5.51 points to 2,996.69
Bank stocks gained after Citigroup announced plans to cut 11,000 jobs and take a $1-billion U.S. charge in the fourth quarter as part of a "repositioning" effort under newly appointed CEO Michael Corbat. Shares of Citi were up nearly 4%. Bank of America, JPMorgan, Goldman Sachs and Morgan Stanley were also higher.
Ahead of the market open, payroll processor ADP reported that U.S. private-sector employers added 118,000 jobs in November. That was slightly worse than expected, and smaller than the gain of 157,000 jobs in the previous month.
Investors will be keeping close tabs on the labour market ahead of the government's monthly jobs report due Friday.
Data on factory orders for October is due from the Census Bureau after the opening bell.
In corporate news, Nasdaq announced late Tuesday that Facebook will be joining its marquee Nasdaq-100 index next week.
Pandora shares plunged more than 13% after the Internet radio service issued a disappointing outlook for sales and earnings late Tuesday.
Shares of Nokia rose following an announcement that it has partnered with China Mobile to launch a new version of its Lumia smartphone for the Chinese market.
Treasury prices picked up ground, lowering yields on the 10-year note to 1.60% from Tuesday’s 1.61%. Treasury prices and yields move in opposite directions.
Oil prices gave back six cents to $88.44 U.S. a barrel.
Gold prices gained $2.30 an ounce to $1,698.10 U.S.
