The Toronto stock market was off slightly Tuesday following a string of gains while China's leadership indicated it would take measures to support the economy and commodity prices slipped.
The S&P/TSX Composite Index reached noon down 22.17 points to 12,736.21
The Canadian dollar gained 0.30 cents to 97.07 cents U.S.
Canadian National Railways was in focus after the railroad handed in earnings that beat expectations following the close Monday. CN earned $717 million or $1.69 per diluted share for the quarter ended June 30, up from $631 million or $1.44 per diluted share a year ago.
Ex-items, CN earned $1.66 per share, up from $1.50 per share a year ago and four cents ahead of estimates. Revenue totaled $2.67 billion, up from $2.54 billion and slightly below estimates of $2.7 billion and its shares dipped 41 cents to $104.65.
The gold sector gave back some of Monday's runup of over 6%, and Barrick Gold Corp. gave back 25 cents to $18.
The base metals sector was up with September copper unchanged at $3.18 U.S. a pound after gaining five cents. Teck Resources climbed 46 cents to $24.43.
The energy sector gained while Canadian Natural Resources rose 15 cents to $34.55.
Chinese media said Premier Li Keqiang had said that growth wouldn't go below 7%. He also said that China's economic growth needs to be kept above that minimum, according to Beijing News and reaffirmed 7.5% as this year's growth target.
On the economic slate, Statistics Canada reported this morning that retail sales burst out of their shell during May, growing 1.9% following two consecutive flat months. It’s the largest growth rate for retail sales since March 2010.
ON BAYSTREET
The TSX Venture Exchange added 0.97 points to 930.35
The 14 Toronto subgroups were evenly split between gainers and losers. Metals and mining stocks topped the former list, growing 1.4%, while global base metals hiked 1.3%, and gold was 0.8% brighter.
The seven laggards were weighed mostly by industrials and financials, each down 0.5%, while health-care stocks were 0.3% less hale.
ON WALLSTREET
U.S. stocks backed away from record levels Tuesday, as investors weighed the latest corporate results.
The Dow Jones Industrials grew 20.92 points to break for lunch at 15,566.80, after surpassing its record closing high early in the session
The S&P 500 index moved back 1.51 points to 1,694.02. The NASDAQ dropped 12.51 points to 3,587.88
Stocks opened broadly higher, but the momentum faded after the Federal Reserve Bank of Richmond said its index of manufacturing activity in the region plunged 11 points in June.
Even so, all three major U.S. indexes are up roughly 19% so far this year.
UPS reported earnings in line with its preliminary expectations. The packing and shipping company said volume in the U.S. and internationally grew, even as revenue came in slightly below forecasts.
Travelers reported a boost in quarterly profit, citing "lower catastrophe losses."
DuPont reported earnings that beat forecasts but revenue fell short, which the company blamed on slipping chemical sales and economic headwinds in Europe and Asia.
Texas Instruments shares rose after the semiconductor maker reported quarterly earnings that came in ahead of expectations.
Lockheed Martin said net income rose 10% in the second quarter, despite a 4% drop in revenue.
Wendy's reported better-than-expected earnings and announced plans to sell 425 company-owned restaurants.
Netflix shares sank after the streaming-video service added fewer subscribers than expected in the second quarter.
Apple is expected to report a drop in quarterly profit after the market closes. AT&T will also release its results after the closing bell.
Meanwhile, Cisco announced plans to buy cybersecurity company Sourcefire for $2.7 billion U.S.
Prices for the 10-year U.S. Treasury were down, raising yields to 2.50% from Monday’s 2.49%. Treasury prices and yields move in opposite directions.
Oil prices dropped six cents to $106.88 U.S. a barrel.
Gold shed $2.10 to $1,333.90 U.S. an ounce.
