Toronto stocks were down on Wednesday on a volatile day of trading. Mining stocks led the gainers, while energy stocks were slightly in the red.
The S&P/TSX Composite Index tumbled 82.97 points, much of it in the final hour of trading, to end the day at 10,432.35.
The market fell yesterday after six straight gains took the main index to a five-week high.
Mining stocks were up. First Quantum added 1.3% to $65.00 and HudBay gained 1.1% at $8.16. Teck Resources climbed 1.9% to $24.75 as investors await the company's quarterly earnings report after the bell.
Energy stocks are down as crude oil has slipped modestly lower amid choppy trading. Canadian Natural Resources slipped 3% to $60.67. Meanwhile, Suncor was 0.5% lower to $36.01 after the company reported second quarter earnings of $185 million or $0.20 per share, sharply below $920 million or $0.99 per share reported in the second quarter of 2008.
Precision Drilling Trust has added 0.9% at $5.51 after the company reported second quarter earnings of $57 million or $0.22 cents per unit, compared to $22 million or $0.16 per unit a year earlier.
On the corporate front, Shoppers Drug Mart Corp. slid 0.1% to $47.43 after the company posted second quarter net earnings of $136.1 million or $0.63 per share, compared to $126.6 million or $0.58 per share in the previous year quarter.
Magna International was up 0.2% to $52.61. The German government said it favours Magna's group in the battle to acquire the Opel unit of General Motors, according to reports.
Silvercorp Metals rose 1.3% to $3.93 after the company announced that its offer to acquire all the outstanding shares of Klondex Mines has been terminated.
Ventana Gold Corp. gained 0.2% to $5.20 after the company said that it has appointed Stephen Orr as president and chief executive officer, effective September 1.
TransAlta Corp. slipped 0.7% to $20.85 after the company that its subsidiary has formally commenced its offer to acquire Calgary-based Canadian Hydro Developers. Canadian Hydro Developers shares were up 3.1% to $5.03
Husky Energy is also on the earnings calendar.
In economic news, Canadian retail sales rose 1.2% in May, according to Statistics Canada, compared to a revised 0.6% drop for April. Excluding auto, sales were up 0.7% after falling 0.5% in April.
The Canadian dollar marched ahead 0.46 cents to 90.99 cents U.S.
ON BAYSTREET
Of the 14 TSX subgroups, 10 were in negative territory at the final bell. Energy stocks gave back 1.1% of their strength, followed by materials, off 1% and industrials, trailing 0.9%.
The four gainers were led by metals and mining stocks, ahead 1.2%, information technology gained 0.3% and real-estate stocks tacked on 0.2%.
The TSX Venture Exchange was up 8.81 points, to 1,123.45, while the Nasdaq Canada Index moved 3.31 points lower to 719.96
ON WALLSTREET
In New York, the Dow Jones Industrial average dipped and the Nasdaq gained in choppy trading Wednesday, as investors paused to consider the recent run and the latest spate of results from Morgan Stanley, Apple, Pfizer and Wells Fargo.
The Dow skidded 34.68 points to 8,881.26. The S&P 500 index slid 0.51 points to 949.75. The tech-rich Nasdaq composite added 10.18 points, to finish at 1,926.38, and run its win streak to 11 straight sessions.
After drifting lower for four weeks straight, stocks have rallied in the last week. In seven sessions, the S&P 500 gained 8.6% and the Dow gained 9.4%. After that sprint, stocks were choppy Wednesday.
Wednesday's action is basically a continuation of the uptrend of the last week or so, said one expert
Although the economic outlook remains shaky, the expert said, conditions have stopped deteriorating, corporate profits seem to be gradually improving and there is still a lot of money on the sidelines ready to be put into stocks
Wells Fargo joined the parade of firms reporting surprisingly strong results this quarter. The company said it earned $3.17 billion U.S., or 57 cents U.S. per share in the quarter, up 81% from a year ago and easily surpassing analysts' forecasts.
However, investors took a sell-on-the-news approach, sending shares 3% lower.
Morgan Stanley however, reported a bigger-than-expected quarterly loss, due partly to a one-time charge related to paying back the billions in government loans it received as part of the bailout program last year. Shares fell 1%.
Apple reported higher quarterly sales and earnings that topped forecasts in a report released late Tuesday. Strong sales of Macs and iPhones fueled the gains. Shares rose 4% Wednesday.
Yahoo also released results late Tuesday. The Internet search behemoth reported better-than-expected earnings and in-line revenue, but said revenue from advertising slumped and third-quarter results and cash flow won't meet forecasts. Shares fell 1% Wednesday.
Advanced Micro Devices reported a wider-than-expected quarterly loss late Tuesday and a big drop in gross margins - a key measure of profitability. Shares of the chipmaker plunged 13% Wednesday.
Dow component Boeing reported higher quarterly earnings that beat forecasts on higher revenue that met forecasts. Shares were little changed.
Dow component Pfizer reported higher-than-expected quarterly earnings and also lifted its outlook for the rest of the year. Fellow drugmakers GlaxoSmithKline and Eli Lilly also reported higher-than-expected quarterly results and boosted their full-year forecasts.
Shares of Coca-Cola fell one day after the beverage company reported higher-than-expected quarterly earnings and lower-than-expected quarterly revenue. On Wednesday, rival PepsiCo reported a bigger-than-expected quarterly profit.
Treasury prices went south, pushing upward the yield on the benchmark 10-year note to 3.54%. Treasury prices and yields move in opposite directions.
The price of a barrel of oil sputtered 21 cents to $65.33 U.S.
Gold prices were ahead $6 to $953 U.S. an ounce.
