Equity markets in Toronto confounded some of the experts and actually began Thursday slightly in the green; this, amid a slew of second-quarter corporate earnings and as investors remained on edge on persistent worries about China's slowdown following weak economic data.
The S&P/TSX Composite Index gained 22.31 points to open for business Thursday at 12,694.81
The Canadian dollar strengthened 0.22 cents to 97.18 cents U.S.
Teck Resources Ltd reported a sharp drop in second-quarter earnings on lower copper and coal prices and cut its capital spending plan through 2014, delaying new mining projects. Teck shares hiked 76 cents to $24.45
Potash Corp of Saskatchewan, the world's biggest fertilizer producer, reported a lower-than-expected quarterly profit and cut its outlook as prices of its crop nutrients fell. Potash shares stepped back $1.73, or 4.4%, to $37.44
Husky Energy reported a 40% jump in second-quarter profit due to higher refining margins. Husky shares acquired 59 cents to $30.17
Agnico Eagle Mines Ltd reported a net loss on Wednesday, hurt in part by a maintenance shutdown, and said it is "reviewing all aspects" of its business in light of the recent drop in gold prices. Agnico shares moved forward 21 cents to $29.25.
ON BAYSTREET
The TSX Venture Exchange slid 0.85 points to 923.81
Nine of the 14 Toronto subgroups were higher in mid-morning trading, with gold hiking 2.1%, metals and mining powering 1.1% upward, and energy gushing 0.9%.
The five laggards were weighed mostly by telecoms, down 0.5%; real-estate and utilities were down 0.3% each.
ON WALLSTREET
U.S. stocks faltered Thursday as investors digested the latest batch of earnings and economic reports.
The Dow Jones Industrials dumped 37.10 points to start the day at 15,505.10
The S&P 500 index notched a gain of 0.95 points to 1,686.89. The NASDAQ improved 15.47 points to 3,595.07
More than a third of the companies in the S&P 500 have reported second-quarter results. As of Wednesday afternoon, more than 65% had topped analysts' expectations, according to S&P Capital IQ.
Facebook shares surged by more than 25% at the open after the company posted strong quarterly results on Wednesday afternoon. It said its mobile ad business continued to gain traction. The momentum propelled Zynga's stock, as well. The app developer has games on Facebook.
On Thursday, 56 companies from the S&P 500 are scheduled to report results.
General Motors said its earnings fell, but not as much as forecast.
Also before the bell, Dow Chemical and Tripadvisor reported quarterly profit gains.
Amazon and Starbucks are due to report after the close.
Credit Suisse reported second-quarter results Thursday morning, revealing a strong performance by its investment banking business that helped boost profits.
In economic news, the government released jobless claims data Thursday morning in line with expectations. Initial claims rose to 343,000 for the week ended July 20, an increase of 7,000 from the previous week.
New orders of durable goods, also reported by the Census Bureau, surged past expectations. The number jumped by 4.2% in June to $244.5 billion U.S. and has risen for four of the past five months. The increase is largely due to a $5.4-billion U.S. increase in non-defense spending for capital goods.
Baidu shares surged after the Chinese Internet company reported a second-quarter profit that topped analyst expectations.
Prices for the 10-year U.S. Treasury drooped, raising yields to 2.61% from Wednesday’s 2.59%. Treasury prices and yields move in opposite directions.
Oil prices fell another 37 cents to $105.02 U.S. a barrel.
Gold prices regained $4.30 to $1,324 U.S. an ounce.
