Equities in Toronto opened lower on Wednesday as shares of banks declined after recent quarterly reports and energy shares were volatile after the price of Brent crude oil dropped.
The S&P/TSX composite index fell 37.88 points, to begin trade on Wednesday at 15,085.34
The Canadian dollar faded 0.23 cents to 79.80 cents U.S.
Canaccord Genuity raised the rating on Martinrea International Inc. to buy from hold. Martinrea began the day up 46 cents, or 3.6%, to $13.12.
Barclays raised the target price on Whitecap Resources Inc. to $14.00 from $13.00. Whitecap shares took on 29 cents, or 2.1%, to $14.29.
The Bank of Canada announced this hour that it is maintaining its target for the overnight rate at 0.75%. The Bank Rate is correspondingly 1% and the deposit rate is 0.5%.
ON BAYSTREET
The TSX Venture Exchange hesitated 0.90 points to 701.40
All but one of the 14 Toronto subgroups were lower in the first hour, weighed most by global base metals, sinking 2%, while metals and mining stocks were off 1.3%, and information technology lost 1.2%.
Only energy stocks registered a mildly positive 0.02%.
ON WALLSTREET
U.S. stocks traded lower on Wednesday as investors weighed a series of economic data ahead of Friday's employment report that could shed light on the timing of an interest rate hike.
The Dow Jones Industrials stepped back 136.94 points to open at 18,058.43, with Caterpillar leading declines across all blue chips.
The S&P 500 was unchanged at 2,107.78. All 10 sectors in the S&P 500 declined.
The NASDAQ index went south 37.88 points to 4,942.02.
Abercrombie & Fitch and PetSmart reported earnings that beat on both the top and bottom lines.
Smith & Wesson earned an adjusted 20 cents U.S. per share for its latest quarter, nine cents above estimate, and revenue was also above analyst forecasts. Smith & Wesson also raised its guidance for the full year on rebounding demand for consumer handguns.
Bob Evans Farms has decided not to sell or spin off its foods unit, although it has hired JPMorgan Chase to advise on options for its real estate. Bob Evans also reported a weaker than expected profit for its latest quarter, earning an adjusted 60 cents U.S. per share compared to a 71-cent U.S. consensus estimate. Revenue also fell short of analyst forecasts.
Growth in the U.S. services sector accelerated modestly in February, lifted by improvements in new business, Markit said.
The final reading of its Purchasing Managers Index for the services sector rose to 57.1 in February, its highest level since October. The reading was roughly even with the preliminary read of 57.0 but up from the 54.2 recorded in January.
Elsewhere, speaking of items economic, the ADP private payrolls report showed a gain of 212,000 in February, below expectations and the slowest pace since last August. The January private payrolls report was revised up to 250,000.
The ADP data is considered a pre-indicator of Friday's labour market report from the Bureau of Labor Statistics.
The ISM non-manufacturing index posted 56.9 for February, above estimates of 56.5.
The Federal Reserve releases its Beige Book on the economy at 2 p.m. ET.
Prices for 10-year U.S. Treasuries were flat, keeping yields at Tuesday’s 2.12%. Treasury prices and yields move in opposite directions.
Oil prices hiked 79 cents to $50.92 U.S.
Gold prices stood pat at $1,204.40 U.S.
