Canadian stocks were virtually unchanged at the open on Wednesday, ahead of the U.S. Federal Reserve's policy meeting to decide on stimulus tapering.
The S&P/TSX composite index sagged 0.46 points to start out the session at 14,582.65
The Canadian dollar fell 0.22 cents at 91.14 cents U.S.
The index climbed on Tuesday to its strongest level in almost six years as robust results from Suncor Energy Inc boosted shares of the oil producer and higher oil prices lifted other energy stocks.
Barrick Gold , the world's largest gold miner, reported a 90% fall in quarterly earnings, hurt by lower gold prices and production. Barrick shares fell 16 cents to $19.19.
Oil and gas whiz Cenovus Energy Inc reported a better-than-expected operating profit, helped by a 48% jump in production at its Christina Lake oil sands project in northern Alberta. Cenovus dipped 41 cents per share to $32.61.
Grocery behemoth Loblaw reported a 4% rise in quarterly adjusted profit as same-store sales rose. Loblaw shares bolted 63 cents higher to $46.43.
In the economic docket, Statistics Canada reports today that gross domestic product inched up in this country by 0.2% in February, powered mostly by mining and oil and gas extraction as well as manufacturing.
The agency’s Industrial Product Price Index hiked 0.4% in March, mainly due to higher prices for meat, fish and dairy products.
StatsCan’s Raw Materials Price Index increased 0.6% in March, led by animals and animal products.
ON BAYSTREET
The TSX Venture Exchange slipped 0.19 points to 999.86
Eight of the 14 Toronto subgroups began the day up, led by information technology, ahead 0.8%, consumer discretionaries, gaining 0.5%, and telecoms, up 0.4%.
The five laggards were weighed by gold, off 1.4%, materials, down 0.7%, and energy, sliding 0.6%. Global base metals were flat coming out of the gate.
ON WALLSTREET
Stocks slumped out of the gate Wednesday after the U.S. government reported much weaker economic growth than expected for the first quarter. But the selling was modest as investors await the latest statement from the Federal Reserve later in the day.
The Dow Jones Industrial Average fell 8.25 points to 16,527.12
The S&P 500 dipped 4.65 points to 1,873.68, and the NASDAQ composite index tumbled 28.38 to 4,075.16
Social media stocks were in focus after Twitter posted uninspiring first quarter results late Tuesday. Twitter shares were down more than 10% in early trading, while Facebook, LinkedIn and China's Weibo also fell.
But Energize shares jumped 9% after the battery company announced plans to split into two companies, one for Energizer batteries and other household products and another for personal care brands such as Schick and Playtex.
In other corporate news, Time Warner reported earnings and sales that topped forecasts, helped by strong revenue from the Lego movie.
Shares of Royal Dutch Shell rose after the oil giant reported better-than-expected quarterly results and hiked its dividend. eBay shares declined a day after the online marketplace reported disappointing earnings.
Yelp is reporting after the bell.
Exelon agreed to acquire rival utility Pepco Holdings in a $6.8-billion U.S. all-cash deal.
Takeover talk continues overseas, with shares of French company Alstom rallying 8% in Europe after General Electric bid $13.5 billion U.S. to take over the firm's power divisions. German firm Siemens may make a counter offer as well.
Gross domestic product, the broadest measure of the U.S. economy, grew at just a 0.1% annual pace in the first quarter, the U.S. Bureau of Economic Analysis said. Economists had anticipated that winter weather would take a toll on growth, but the result was worse than most forecasts.
But not all the morning's economic news was bad. Payroll processor ADP said the private sector added 220,000 jobs in April. That's the strongest job growth since November.
Still to come, the Fed wraps up a two-day policy meeting with a decision on interest rates at 2 p.m. ET. The central bank is expected to reduce its asset purchases by another $10 billion U.S.
Prices for 10-year U.S. Treasuries gained some ground, lowering yields to 2.69% from Tuesday’s 2.70%. Treasury prices and yields move in opposite directions.
Oil prices dumped $1.67 to $99.61 U.S. a barrel.
Gold prices slipped $6.70 to $1,289.60 U.S. an ounce.
