The Toronto stock market moved higher Wednesday as gains in energy and financial shares helped balance out earnings' misses from two of Canada's biggest grocers and lingering disappointment that a meeting of Chinese leaders failed to yield hoped-for economic reforms
The S&P/TSX composite index climbed 44.62 points to end Wednesday to 13,370.66
The Canadian dollar strengthened 0.26 cents to 95.55 cents U.S.
Loblaw Companies Ltd. fell $3.61, or 7.6%, to $44.23 as the grocer lowered its 2013 forecast for profit growth due to thinner margins in the second half of the year.
Loblaw also said its quarterly net income was $154 million or 55 cents per share, which was down 28.6% a year earlier. Ex-items, earnings were $220 million or 78 cents per share, down 3.7% a year ago. However, revenue was up 1.9% to $10 billion.
Metro shares lost $3.71, or 5.6%, to $62.00 after the company posted adjusted fully diluted net earnings per share from continuing operations of $1.19, up 4.4% from a year ago. However, sales were down 1.1% to $2.6 billion while same store sales fell 1.8%.
The metals and mining sector was a major drag, as copper prices fell for a second day in the wake of the Chinese leadership meeting, down seven cents to $3.16 U.S. a pound.
First Quantum Minerals was down 83 cents, or 4.3%, to $18.56 while HudBay Minerals shed 18 cents to $8.10.
Energy companies advanced, while Suncor Energy was up 73 cents to $37.23.
Financials were also supportive as Bank of Montreal gained 63 cents to $73.44.
ON BAYSTREET
The TSX Venture Exchange slipped 0.44 points to 925.88
All but three of the 10 TSX subgroups ended the day higher, as information technology and energy stocks vied for the top spot, each group gaining 1%, while financials were better by 0.7%.
The three laggards proved to be consumer staples, dropping 2.6%, while telecoms and materials each faded 0.1%.
ON WALLSTREET
The S&P 500 rose to another record high Wednesday as stocks recovered from earlier losses. Investors remain focused on the economy as they attempt to gauge when the U.S. Federal Reserve will scale back its monetary stimulus.
The Dow Jones Industrials reversed its fortunes and perked 70.96 points to 15,821.60
The S&P 500 index gained 14.31 points to 1,782. The NASDAQ gained 45.66 points to 3,965.57
Macy's shares rose on better-than-expected quarterly earnings and strong same-store sales.
China's Sina, which operates the Twitter competitor Weibo, reported strong earnings and issued an upbeat revenue outlook. Shares rose 12%.
Shares of Chegg fell 18% to about $10.20 U.S. in the company's stock market debut. The operator of a text book rental service priced its initial public offering at $12.50 U.S. a share -- above its offering range -- on Tuesday.
Some traders were wondering why the company priced its stock so high, while others still believe Chegg is a good long-term bet.
Potbelly surged after the sandwich shop reported strong results late Tuesday. The company recently went public and shares more than doubled on their first day of trading.
Tesla shares edged higher after CEO Elon Musk said there "definitely" won't be a recall of the Model S, quashing rumors in the wake of three battery fires during the past five weeks.
Shares of Starbucks drifted lower after the coffee chain agreed to pay $2.7 billion U.S. to Mondelez to settle a contract dispute.
Dow component Cisco Systems is set to report quarterly results after the bell.
The gains came amid uncertainty about when the Federal Reserve will finally begin reducing, or tapering, its bond-buying program.
Overseas, investors pondered a Chinese Communist Party communique on economic reform that was heavy on jargon but light on specifics.
Prices for 10-year U.S. Treasuries hesitated, raising yields to 2.72% from Tuesday’s 2.77%. Treasury prices and yields move in opposite directions.
Oil prices added 75 cents to $93.79 U.S. a barrel.
Gold prices gained $2.30 to $1,273.50 U.S. an ounce.
