Higher crude oil prices helped boost Canadian energy stocks on Wednesday, while figures that showed a surprise shrinking of the country's trade deficit in June aided broad investor sentiment, pushing up the main stock index.
The S&P/TSX composite index was up 60.33 points to greet noon at 14,551.38
The Canadian dollar gained 0.05 cents to 75.86 cents U.S.
Among the biggest gainers were pipeline operator Enbridge Inc, up 1.4% at $58.38. Oil producer Canadian Natural Resources Ltd gained 2.1% to $32.91 and Suncor Energy Inc added 1.3% to $37.41.
Valeant Pharmaceuticals International, an acquisitive drugmaker that has risen quickly to become a major force on the index, rose 1.2% to $346.65.
Fertilizer producer Potash Corp gained 1.1% to $36.39.
On the economic calendar, Statistics Canada says exports increased 6.3% in June while imports declined 0.6%. This means Canada's merchandise trade deficit with the world narrowed from $3.4 billion in May to $476 million in June.
ON BAYSTREET
The TSX Venture gained 0.01 points to 589.89
All but two of the 14 TSX subgroups were higher, with global base metals gaining 1.4%, information technology up 1.3%, and health-care better by 1.1%.
The two laggards were metals and mining, down 0.7%, and materials, off 0.1%.
ON WALLSTREET
U.S. stocks traded higher on Wednesday as investors digested earnings and data amid mixed comments from Fed speakers on the timing of a rate hike.
The Dow Jones industrial average remained positive 34.31 points to 17,585
The S&P 500 hiked 11.52 points to 2,104.84
The NASDAQ index spiked 56.05 points to 5,161.59
Apple gained about 2% after initially opening lower by just as much. In the last two days, the stock has plunged into correction territory.
On Wednesday, Bank of America/Merrill Lynch cut its rating on the stock to "neutral" from "buy," saying iPhone growth is decelerating and that Apple Watch, Apple Pay, and Apple Music will take time to ramp up.
Netflix traded about 4% higher after the company late Tuesday confirmed plans to expand into Asia and an investment firm put a mega-bullish price target on the stock.
Shares of Disney plunged 8% after missing on revenue in its earnings report after the close Tuesday. The stock was the only blue chip decliner, weighing about 70 points on the index. Without Disney's losses, the Dow should have had more than twice its gains.
In economic news, the ADP report came in at 185,000, below expectations for 215,000 private-sector payrolls.
Earlier, futures fluctuated ahead of the ADP payroll data, which is not seen as an exact preview for Friday's jobs report but it can give directional hints, and the market watches it for any big surprises.
Meanwhile, economists forecast 223,000 non-farm payrolls in the government's employment report Friday, and that is one of the final key pieces of data the Fed will review before it September meeting.
The July trade report posted a deficit of $43.84 billion U.S.
Prices for 10-year U.S. Treasuries sagged, boosting yields to 2.28% from Tuesday’s 2.22%. Treasury prices and yields move in opposite directions.
Oil prices added 38 cents a barrel to $46.12 U.S.
Gold prices docked $8.70 to $1,082 U.S. an ounce.
