Equities in Canada’s biggest centre slipped on Friday, with heavyweight banks and oil and gas companies tipping the scales to the downside while gold miners helped offset the losses.
The S&P/TSX composite index faded 24.35 points to begin the week’s last session at 15,082.65
The Canadian dollar dipped 0.44 cents to 79.98 cents U.S.
The Bank of Nova Scotia reported a quarterly profit that came in ahead of market expectations, supported by gains in its global banking and markets division, and said it planned to buy back shares.
Net income in the second quarter ended April 30 was $1.8 billion, or $1.42 per share, compared with $1.8 billion, or $1.39 per share, a year ago. Excluding special items, earnings rose to $1.43. Analysts on average had expected earnings of $1.39 a share.
Scotiabank shares climbed 57 cents to $65.14.
Managers at BP Plc and Husky Energy’s joint-venture refinery in Toledo, Ohio, are weighing a proposal to allow striking union workers to return to work without a final contract, a BP spokesman said on Thursday. Husky shares dipped nine cents to $24.39.
UBS cut target price on Canadian Pacific Railway to $246.00 from $248.00 saying that Teck mine shutdowns point to a weaker 2H coal for the company. CP shares dropped 87 cents to $207.93 in the first hour of trade.
CIBC raised price target on RBC to $87.00 from $86.00 citing the benefits of a deep bench and the company’s Q2/F15 earnings. Commerce shares shed 89 cents to $94.74.
Canaccord Genuity raised price target on TD Bank to $57.00 from $55.00 stating that restructuring charge provides insight on the company’s cost containment strategy. TD shares fell 60 cents, or 1.1%, to $54.77.
On the economic blotter, Statistics Canada reported real gross domestic product decreased 0.1% in the first quarter, following growth of 0.6% in the fourth quarter of 2014.
This was the first negative growth rate of real GDP since the second quarter of 2011. On a monthly basis, real GDP by industry fell 0.2% in March.
ON BAYSTREET
The TSX Venture Exchange gained 0.80 points to 692.96
Nine of the 14 Toronto subgroups were negative out of the chute, as industrials dipped 0.5%, consumer staples fell 0.4%, and financials lost 0.3%.
The five gainers were led by gold, up 0.8%, materials, moving up 0.5%, and information technology, picking up 0.3%
ON WALLSTREET
U.S. stocks traded lower on Friday, the last day of trade for the month, as investors digested economic data and remained cautious on continued concerns about Greece.
The Dow Jones Industrials dropped 60.29 points to begin the day at 18.065.83, with Procter & Gamble leading decliners and Intel leading gains.
The S&P 500 index slumped 4.26 points to 2,116.53, with industrials leading seven sectors lower and health-care the greatest advancer.
The NASDAQ retreated 4.99 points to 5,092.98
Meanwhile, in stock news, the New York Post reported that Intel is close to a deal to buy smaller chipmaker Altera for around $15 billion U.S.
Big Lots reported quarterly profit of 60 cents U.S. per share, one cent above estimates, with revenue in line with forecasts. However, the discount retailer's current quarter earnings forecast is below estimates, with comparable store sales expected to grow by two to three percent.
GameStop earned 68 cents U.S. per share for its latest quarter, seven cents above estimates. Revenue was slightly ahead of forecasts, and the video game retailer also gave an upbeat forecast for the current quarter and full year. The company's results were helped by strong sales of new game software.
Equinix is buying Britain's Telecity Group for $3.6 billion U.S, creating Europe's largest data center company. The acquisition by U.S.-based Equinix also ends Telecity's bid to buy Dutch data center firm Interxion.
The second read on first-quarter GDP showed a decline of 0.7% as the economy struggled under heavy snow storms and the renewed strength in the dollar.
The U.S. government had forecast a drop of 0.8%. Economists expected a 1% decline in first-quarter GDP, after an original print showed a 0.2% gain. That was down from 2.2% growth in the fourth quarter.
Chicago PMI unexpectedly fell to 46.2 in May versus a read of 52.3 in April.
Consumer sentiment showed a final read of 90.7 for May, the lowest since November and below April's 95.9 print.
Prices for 10-year U.S. Treasuries gained, lowering yields to 2.11% from Thursday’s 2.13%. Treasury prices and yields move in opposite directions.
Oil prices picked up 50 cents a barrel to $58.18 U.S.
Gold prices regained a dollar to $1,189.80 U.S. an ounce.
