Toronto’s main stock index had trouble finding its footing early Wednesday, with energy issues weighing despite better prices for U.S. crude, higher gold and other commodity prices helping miners offset the fall.
The S&P/TSX composite index plummeted 76.54 points to begin Wednesday’s session at 12,802.04
The Canadian dollar was down 0.20 cents at 97.27 cents U.S.
Transcontinental Inc reported a 5% rise in first-quarter adjusted profit, helped by the acquisition of Quad/Graphics Canada Inc.
Transcontinental shares took on 23 cents to $12.69.
Air Canada won a seven-year extension on Tuesday of the cap on special payments to erase its sizeable pension fund deficit, over the objection of its smaller rivals, but will have to make higher payments than it originally requested and abide by certain conditions. The airline’s stock got 11 cents worth of lift to $2.68.
Alamos Gold Inc CEO John McCluskey said the company was likely to walk away from a bid to buy Aurizon Mines Ltd if it loses a regulatory ruling on the merits of a poison pill adopted by Aurizon and the break fee committed to rival bidder Hecla Mining Co. Alamos shares docked a nickel to $14.70, in the first hour of trading.
ON BAYSTREET
The TSX Venture Exchange deducted 1.53 points to 1,117.62
Among the 14 Toronto subgroups, information technology fought its way doggedly up 0.1%, and real-estate even more so, gaining but 0.01%.
Everything else fell hard, with telecoms getting bruised 1.5%, while global base metals suffered a 0.9% loss and energy ditched 0.7%.
ON WALLSTREET
Investors took a break from the recent rally Wednesday, despite a better-than-expected retail sales report.
The Dow Jones Industrials moved lower by 24.61 points from Tuesday’s all-time high, to 14,425.50.
The S&P 500 index lopped off 3.06 points to 1,549.42. The tech-heavy NASDAQ Composite dropped 6.81 points to 3,235.51.
Another look at consumer spending will come after the bell, when a variety of clothing retailers, including Coldwater Creek, Guess? and Men's Wearhouse report quarterly results.
Apple shares continued their recent slide Wednesday, as investors worry about slowing demand for the iPhone 5 and what Apple plans to do with its cash.
Shares of Boeing edged lower in early trading. The Federal Aviation Administration gave the aircraft maker permission late Tuesday to start testing its proposed fix to the lithium batteries on the 787 Dreamliner, a key step in getting the aircraft that has been grounded by a safety probe since Jan. 16 back into service.
Economically speaking, the U.S. Commerce Department early Wednesday reported February retail sales rose 1.1%, the best month since September.
Sales were expected to rise only 0.5%, as economists worried that increased payroll tax, delayed tax refunds and higher gas prices would cause consumers to pull back on spending.
Prices on the 10-year U.S. Treasury sagged, raising yields to 2.04% from Tuesday’s 2.02%. Treasury prices and yields move in opposite directions.
Oil prices remained positive 55 cents to $93.09 U.S. a barrel.
Gold prices gained $1.30 to $1,593 U.S. an ounce.
