The Toronto stock market confounded predictions and actually open in a positive light Monday, even as traders betrayed nerves in the wake of Russia’s incursion into Ukraine’s Crimean peninsula.
The S&P/TSX composite index started out Monday and March ahead 33.15 points to 14,242.74
The Canadian dollar dipped 0.08 cents U.S. early Monday to 90.19 cents U.S., after Russia took effective control of the Crimean peninsula without firing a shot, calling it a necessary protection for the country’s citizens living there.
On the earnings front, Magna International Inc. said quarterly net earnings rose 31% from a year ago to $458 million U.S. or $2.03 as sales jumped 14% from a year earlier to $9.17 U.S.
Magna’s adjusted earnings totaled $607 million, up from $387 million a year earlier. The company also raised its quarterly dividend by 19% to 38 cents per share. Magna shares increased $2.22 to $100.79
Major Drilling Group International Inc. reported a net loss of $12.8 million, or 16 cents per share, up from $4.2 million or five cents per share a year earlier. Revenue fell to $71.8 million, down from $123.2 million a year earlier as major customers put off decisions on their 2014 exploration programs. Major shares gained 15 cents to $9.01
On the economic slate, Statistics Canada reported this morning that its industrial products price index rose 1.4% in January, on the back of higher prices for energy and petroleum products. The Raw Materials Price Index increased 2.6% in the same month, as a result of higher prices for crude energy products.
ON BAYSTREET
The TSX Venture Exchange faded 3.87 points to 1,021.50.
Nine of the 14 Toronto subgroups were lower at the outset, weighed by metals and mining, down 1.7%, while information technology slid 1%, and global base metals dipped 0.9%.
The five gainers were led by gold, up 3.1%, while materials climbed 1.5%, and energy hiked 0.9%.
ON WALLSTREET
U.S. stocks followed their international counterparts lower Monday morning as investors worried about increased tensions between Russia and Ukraine.
The Dow Jones Industrial Average plummeted 123.85 points to start Monday at 16,197.86
The S&P 500 index faded 12.24 points to 1,847.21. The NASDAQ subtracted 30.94 points to 4,277.18
Investors were cautious following news that Russia has moved forward with military intervention in Ukraine. Ukraine's new leaders have accused Russia of declaring war.
In U.S. company news, Men's Wearhouse said Monday that it has entered into merger talks with its rival retailer Jos. A. Bank
Prices for 10-year U.S. Treasuries gained ground, lowering yields to 2.63% from Friday’s 2.66%. Treasury prices and yields move in opposite directions.
Oil prices gained $1.79 to $104.38 U.S. a barrel.
Gold prices gained $25.90 to $1,347.50 U.S. an ounce.
