Equities in Toronto straddled the breakeven line on Tuesday, as base metals stocks helped lead the market higher and investor optimism got a boost from U.S. stocks closing at record highs on Monday.
The S&P/TSX composite index gained 5.19 points to move into noon hour at 15,149.77
The Canadian dollar dropped 0.42 cents to 81.82 cents U.S.
Markets in Canada were closed Monday for Victoria Day.
Among base metals stocks, Turquoise Hill Resources sprinted out 31 cents, or 5.8%, to $5.55.
Valeant Pharmaceuticals International Inc, a perennial index heavyweight, led with a 2.7% rise to $277.24.
Financial institutions rounded out the top five most influential gainers, with Royal Bank of Canada up 1.1% at $79.68. Manulife Financial Corp rose 1.8% to $23.03.
The index traded in negative territory earlier in the session, dragged in part by energy stocks, hurt by softer oil prices.
Suncor Energy Inc was off 0.9% at $36.25, while Cenovus Energy Inc fell 1.7% to $20.44.
Also tempering gains was a loss by the materials group, home to mining and other resource companies.
First Quantum Minerals Ltd lost 4.9% to $17.91, while Cameco Corp tumbled 4.6% to $19.74. Goldcorp was down 1.5% at $22.96.
ON BAYSTREET
The TSX Venture Exchange slid 1.16 points to 694.15
The 14 Toronto subgroups remained split between gainers and losers, as global base metals gathered 5.4%, health-care hiked 2.4%, and information technology soared 1.1%.
The seven laggards were weighed by metals and mining, down 2.4%, energy, off 1.5%, and gold, sliding 1%.
ON WALLSTREET
U.S. stocks traded in a narrow range on Tuesday, trying to build off positive momentum from Europe and a record close a day earlier while investors kept an eye on rising yields and dollar strengthening.
The Dow Jones Industrials regained 18.32 points to 18,317.20, with DuPont leading gains and Wal-Mart the greatest decliner.
The S&P 500 index was unchanged at 2,129.20, with energy leading six sectors lower and financials the greatest advancer.
The NASDAQ fell 7.79 points to 5,070.65
The Dow Jones industrial average and the S&P 500 closed at records on Monday after setting new intraday highs.
Major earnings on Tuesday include Home Depot, Wal-Mart, Dick's Sporting Goods, TJX Companies and Red Robin Gourmet Burgers before market open. Autodesk is due after the bell.
Home Depot reported adjusted quarterly profit of $1.16 U.S. per share, one cent above estimates, with revenue also above forecasts. Same-store sales were also better than expected, and Home Depot raised its full-year earnings and sales forecasts.
Wal-Mart earned an adjusted $1.03 U.S. per share for the first quarter, one cent below estimates, with revenue also below forecasts. Comparable-store sales also registered a lower-than-expected increase for the quarter.
Dick's Sporting Goods beat estimates by four cents U.S. with quarterly profit of 57 cents U.S. per share, with revenue essentially in line. However, its comparable-store sales increase of 1% was shy of the 1.5% consensus. The company also raised the low end of its full-year earnings guidance.
TJX Cos., the owner of off-price chains TJ Maxx and Marshalls, reported a 5.8% rise in quarterly sales as more customers visited its stores and the company expanded its offerings.
Investors also cheered better-than-expected housing data, which showed April's housing starts totaled 1.135 million in April, above the 1.020 million estimate. The beat follows weak readings of little above 900,000 in February and March.
Prices for 10-year U.S. Treasuries dropped, lifting yields to 2.24% from Monday’s 2.22%. Treasury prices and yields move in opposite directions.
Oil prices let go of $1.54 a barrel to $57.89 U.S.
Gold prices fell $20 to $1,207.60 U.S. an ounce.
