Equity markets in Toronto were lower Thursday as traders prepared to take in the release of job creation data Friday. They also absorbed the latest developments in the Russia-Ukraine crisis that could see Ukraine break up.
The S&P/TSX composite index slid 32.25 points to close the day at 14,271.92
The Canadian dollar gained 0.31 cents at 90.97 cents U.S.
Health-care stocks were bruised with Valeant Pharmaceuticals slumping $8.55, or 5.3%, to $151.53.
The base metals sector advanced, with May copper two cents higher at $3.22 U.S. a pound. Teck Resources took on 67 cents to $25.26
The energy sector was ahead as Imperial Oil added 35 cents to $51.17.
Canadian Natural Resources' quarterly adjusted net income came in at 52 cents per share, four cents below estimates. Cash flow per share was $1.64, which was 10 cents below the estimate.
Its quarterly dividend will rise to 22.5 cents per shares, up two cents and its shares gained 11 cents to $40.81.
The gold sector was up while Barrick Gold dipped 17 cents to $22.32
The industrials component lost ground as engineering firm SNC-Lavalin Group reported a quarterly profit of $92.54 million or 61 cents a share, down from $93.84 million a year ago, missing forecasts by a penny.
Revenue fell to $2.12 billion in the fourth quarter, down $300 million from a year earlier and its shares fell $1.98, or 4.1%, to $46.39.
The consumer discretionary segment was also weak. But shares in Linamar Corp. ran up 78 cents to $50.08 as the auto parts maker posted quarterly net earnings of $68.7 million or $1.06 per share, compared with $30.7 million or 47 cents in the same 2012 period. Revenue increased to $926.1 million from $756.5 million and Linamar increased its quarterly dividend by 25% to 10 cents a share.
On the economic slate, Statistics Canada reported that building permits issued by Canadian municipalities increased 8.5% to $7.0 billion in January, following a 4.8% drop in December.
The improvement in January came from higher construction intentions in the residential sector, which more than offset a decline in the non-residential sector.
Western University’s Ivey School of Business noted that its Purchasing Managers Index (PMI) by the end of February 2014 stood at 57.2, ahead of the 56.8 figure for January, 51.1 for February 2013 and 66.5 for February 2012.
The PMI solicits managers on whether purchases last month were higher, the same, or lower than the previous month. A figure above 50 shows an increase while below 50 shows a decrease.
ON BAYSTREET
The TSX Venture Exchange grew 10.08 points to 1,039.36.
Eight of the 14 Toronto subgroups were positive on the day, led by metals and mining, sprinting ahead 1.8%, materials, up 0.6%, and global base metals, up 0.5%.
The half-dozen laggards were weighed by health-care, down 2.5%, information technology, off 0.8%, and industrials, sliding 0.6%.
ON WALLSTREET
A flurry of political maneuvering on the global stage couldn't stop stocks from reaching a new record Thursday.
The Dow Jones Industrial Average gained 61.71 points to close at 16,421.89
The S&P 500 index gained 3.22 points to a new all-time high of 1,877.03. The NASDAQ subtracted 5.84 points to 4,352.13.
Stocks are approaching the five-year anniversary of the starting point of the current bull market. And while some investors worry that stocks are overdue for a pullback, bulls say there's more room to run.
On the corporate front, Staples shares plunged after the office supplier reported a slump in last year's sales and announced that 225 stores will be closed by the middle of 2015.
Costco fell after the warehouse retailer reported sales and profits that missed forecasts. Still, one trader was relieved that Costco didn't blame bad weather for its lousy results, unlike a host of other retailers.
Pandora shares sank nearly 6% after the online radio service said listener hours fell to 1.51 billion in February from 1.58 billion in January. It also decided to stop issuing monthly reports on user growth. The pullback comes after Pandora shares hit an all-time high earlier this week. Even with Thursday's decline, the stock is still up nearly 40% this year.
Chinese Internet company Sina surged 9% on more speculation that the company may soon file for an initial public offering for its Weibo unit, a microblogging tool similar to Twitter
The gains came despite a tense political standoff between Russia and Western powers over Ukraine. Russian troops moved into Ukraine's Crimea Peninsula over the weekend, effectively taking control of the strategically important territory.
For now, investors are confident that the conflict will not escalate into a full-blown war. But the crisis could have unpredictable political ramifications.
Political leaders in Crimea have called for a referendum this month on whether to remain part of Ukraine or join the Russian Federation. Meanwhile, U.S. and
European officials unveiled new sanctions aimed at pressuring the Russians and Ukrainians deemed responsible for the crisis.
Economically speaking, the U.S. government said first-time claims for unemployment benefits fell last week. All eyes will be on the jobs report for February tomorrow. Economists expect that 150,000 jobs were added last month and that the unemployment rate remained steady at 6.6%.
Prices for 10-year U.S. Treasuries lost ground, raising yields to 2.74% from Wednesday’s 2.70%. Treasury prices and yields move in opposite directions.
Oil prices regained 49 cents to $101.94 U.S. a barrel.
Gold prices strengthened $10.20 to $1,350.50 U.S. an ounce.
