Markets in Toronto crept up on Monday, helped along by positive economic data from China and the euro-zone, though U.S. Federal Reserve comments, developments from Capitol Hill, and a bleak warning from BlackBerry weigh on investor sentiment.
The S&P/TSX composite index gained 10.85 to begin the week at 12,817.32
The Canadian dollar gained 0.18 cents to 97.19 cents U.S.
BlackBerry Ltd's plan to retreat from the consumer market in favor of serving businesses and governments is a desperate move that industry watchers warn will only accelerate its downward spiral.
Many banks and brokers, including Citigroup, Goldman Sachs, Nomura, CIBC, cut price targets after the company said it expects second-quarter results below estimates.
Shares in BlackBerry swooned 3.2% to $8.79.
Major U.S. telecom companies have not registered for a Canadian wireless spectrum auction, raising doubts about government plans for more competition and offering good news for the three big players, BCE Inc. – whose shares hiked 1.1% to $44.42 -- Rogers Communications Inc. – whose shares gained 1.4% to $45.45 -- and Telus Corp., whose shares triumphed nearly a full percentage point to $34.91.
Agrium Inc raised its dividend by 50% and said potash volumes are expected to be about 30% lower than normal in the current quarter. Agrium shares faded 2% to $90.58.
Enbridge Inc. has rationed space for crude oil shippers on four different lines in its export network in October, two market sources said on Friday. Enbridge shares gained 11 cents to $43.37.
ON BAYSTREET
The TSX Venture Exchange added 4.33 points to 950.43
All but four of the 14 Toronto subgroups were higher in early morning trade, led by metals and mining, up 0.9%, telecoms, pumping up 0.8%, and global base metals, tacking on 0.7%.
The four laggards were weighed by health-care, down 0.9%, information technology, sliding 0.5%, and energy, 0.3% less energetic.
ON WALLSTREET
Investors were acting cautiously Monday morning as lawmakers in Washington continue to battle over a budget deal.
The Dow Jones Industrials shed 32 points, to 15,419.10
The S&P 500 index faded 6.40 points to 1,703.51. The NASDAQ dropped 11.95 points to 3,762.78.
Unless a compromise is reached during the next week, the government is poised to shut down at the start of October. While investors don't typically worry too much about a shutdown, the political wrangling and gridlock may cause some volatility in markets, according to experts.
Apple shares jumped after the company said it sold a record nine million iPhone 5S and iPhone 5C devices worldwide during the first three days the phone went on sale.
BlackBerry shares continued to decline after the company announced last week that it is slashing 40% of its workforce and warned of a $1-billion U.S. quarterly loss.
Prices for the 10-year U.S. Treasury gained, lowering yields to 2.71% from Friday’s 2.73%. Treasury prices and yields move in opposite directions.
Oil prices fell back $1.23 to $103.52 U.S. a barrel.
Gold prices dipped $9.60 at $1,322.90 U.S. an ounce.
