The Toronto stock market headed for a positive open Thursday amid strong earnings results from Royal Bank and CIBC and mixed commodity prices.
The S&P/TSX Composite Index ended a generally negative Wednesday within sight of breakeven, but still 17.90 points off by the closing bell at 12,732.61
The Canadian dollar faded 0.28 cents to 96.33 cents U.S. early Thursday.
Royal Bank posted $1.9 billion of net income in the second quarter, up 26% from a year earlier. The profit amounted to $1.27 share while adjusted diluted EPS was $1.31.
CIBC had a second-quarter profit of $876-million profit, which was up 8% from a year ago. Its net income and adjusted net income both came in at $2.12 per share, above the consensus estimate. CIBC said its quarterly dividend will be increased by two cents to 96 cents per share.
In the economic docket, Statistics Canada said its industrial product price index slid 0.8% in April, due to declining petroleum and coal prices. In the same month, the agency said its raw materials price index fell 2.2%, mostly because of decreased prices for crude oil.
ON BAYSTREET
The TSX Venture Exchange faded 0.70 points Wednesday to 953.71
ON WALLSTREET
A big drop in Japan stocks wasn't spilling over to Wall Street early Thursday.
Futures for the Dow Industrials spiked 48 points, or 0.3%, to 15,338. Futures for the S&P 500 gained 4.8 points, or 0.3%, to 1,651.80, and futures for the NASDAQ picked up 8.5 points, or 0.3%, to 3,004.
Japan's benchmark Nikkei index plunged 5.2%, and is now more than 10% off its peak, putting it into a technical correction. The index had risen by well over 70% in less than a year.
Asian markets ended with losses across the board, while European markets were mixed near midday, after starting sharply lower.
U.S. investors head into Thursday awaiting the government's weekly data on initial jobless claims and its second estimate of first-quarter gross domestic product.
In the first estimate, released last month, the government said the economy grew at a 2.5% annual rate in the first three months of the year, driven largely by a pickup in consumer spending.
In corporate news, discount retailer Costco reported improved quarterly earnings that were slightly better than forecasts on a rise in revenue that fell just short of estimates.
Dish Network raised its offer for Clearwire late Wednesday, topping the bid from Sprint Nextel. Dish is also locked in a takeover battle for Sprint with Japan's SoftBank.
Electric car maker Tesla will triple its network of rapid charging stations to allow drivers to travel from Los Angeles to New York by year's end, CEO Elon Musk announced at the All Things Digital conference in California late Wednesday. But Musk also said a mass-market Tesla, priced at about $30,000, is still three to five years away.
Late Wednesday, Moody's cut the credit rating of Dow component Alcoa to junk bond status.
Shares of information data storage equipment maker EMC got a lift after it announced its first quarterly dividend and increased the side of its share repurchase program.
Shares of NV Energy surged on news that MidAmerican Energy, a subsidiary of Warren Buffett's Berkshire Hathaway, has agreed to acquire it. MidAmerican will pay $23.75 U.S. a share, a 23% premium to NV Energy's Wednesday closing price of $19.28 U.s.
Oil prices eased 70 cents to $92.43 U.S. a barrel
Gold prices improved $7.30 to $1,398.60 U.S.
