Stock futures pointed to a higher start for Canada's main stock index as oil prices rose after a larger-than-expected draw in U.S. crude and gasoline stocks and figures showing a decline in U.S. oil production.
The S&P/TSX composite index soared 224.44 points, or 1.6%, to close Wednesday at 14,301.80
The Canadian dollar was down 0.28 cents to 76.98 cents U.S. early Thursday
Bombardier posted a 19.4% drop in quarterly profit, hurt by a fall in sales at its commercial aircraft and transportation unit. Net income fell to $125 million, or six cents per share, in the second quarter, from $155 million, or eight cents per share, a year earlier. Revenue fell 5.5% to $4.62 billion.
Cenovus Energy reported an 80% fall in quarterly profit, hurt by a steep decline in oil prices. The company said it was going to cut 300-400 jobs at its Calgary offices by the end of the year, after cutting about 800 positions earlier in the year. Net income fell to $126 million, or 15 cents per share, in the second quarter, from $615 million, or 81 cents per share, a year earlier.
Home Capital Group reported a 2% fall in quarterly profit, hurt by a fall in mortgage originations. Home Capital's net profit slipped to $72.3 million, or $1.03 per share, in the second quarter ended June 30, from $73.7 million, or $1.05 per share, a year earlier.
Kinross Gold is again considering cutting jobs at its Tasiast gold mine in Mauritania, as the Canadian miner looks for ways to reduce costs at its higher-cost mines amid sliding metals prices. Kinross reported a loss of $83.2 million, or seven cents a share, in the three months to end of June. That compared with net earnings of $46 million, or four cents a share, in the same period in 2014.
Open Text Corp maker raised its fiscal 2016 operating margin forecast and reported better-than-expected revenue for the first time in four quarters as it closed more big contracts. The company's total revenue fell about three percent to $482.7 million in the fourth quarter, but beat its own forecast of $440-$455 million and analysts' average estimate of $447.2 million. Net income attributable to
Open Text fell 22% to $68.8 million or 56 cents per share.
Penn West Petroleum Ltd reported a second-quarter loss, compared with a profit a year earlier, hurt by weak oil prices. The company's net loss was $28 million, or six cents per share, in the second quarter, compared with a profit of $143 million, or 29 cents per share, a year earlier. Its total revenue fell 43% to $325 million
ON BAYSTREET
The TSX Venture Exchange moved downward 2.21 points to close Wednesday’s session at 584.76
ON WALLSTREET
U.S. stocks are pointed downward before Thursday’s open.
Ahead of the opening bell, futures for the Dow Jones Industrials faded 46 points, or 0.3%, to 17,636, futures for the S&P were down 5.25 points, or 0.3%, to 2,096.25, and futures for the NASDAQ dipped 2.75 points, or 0.1%, to 4,562.25.
Quarterly reports will keep coming in from companies such as Cigna, T-Mobile, Time Warner Cable and Virgin America. These firms are reporting before the opening bell.
Fiat Chrysler Automobiles is among the companies reporting after the close.
Whole Foods stock is slumping by about 13% pre-market after its quarterly earnings missed expectations.
Shares in Facebook are dipping by about 2% pre-market after the company reported earnings on Wednesday.
There were high expectations ahead of the quarterly report and Facebook managed to beat earnings and growth expectations.
But investors seem to be feeling a little letdown after bidding up shares by 24% since the start of the year.
This morning, on the economic ledger, the U.S. Department of Labor will post new weekly jobless claims data.
New unemployment claims have climbed in recent weeks, but the week ending July 18 saw just 255,000 new claims. That's the lowest initial unemployment claims report since 1973.
Also, the Bureau of Economic Analysis was set to release GDP data for the second quarter.
European markets are mostly positive in early afternoon trading, while Asian markets ended with mixed results.
Oil prices increased 26 cents to $49.05 U.S. a barrel
Gold prices subtracted $8.40 at $1,084.90 U.S. an ounce.
