Equities in Toronto bounced higher shortly after the open, reversing some of the previous session's hefty losses and tracking global equities.
The S&P/TSX composite index opened Wednesday 74.55 points higher at 13,556.45, after Tuesday’s decline of more than 370 points.
The Canadian dollar was unchanged at 75.43 cents U.S.
Sears Canada reported a quarterly profit, helped by lower costs and a one-time gain on sale of properties. The company reported a profit of $13.5 million, or 13 Canadian cents per share, compared with a loss of $21.3 million, or 21 Canadian cents per share, a year earlier. Net income included a pre-tax gain of $67.2 million on a sale and leaseback of three properties in British Columbia and Alberta.
Sears shares descended 26 cents, or 3.2%, to $7.91.
TransCanada Corp said on Tuesday the U.S. Federal Energy Regulatory Commission has allowed it to reclassify some 1.1 billion cubic feet of gas in storage as "working gas" which can be burned at any time for heating or electrical generation. Previously, the gas was classified as "base gas" supply, which must be left underground to maintain a certain level of operational pressure in a gas cavern.
TransCanada shares gained three cents to $44.05.
Barclays raises target price on Alimentation Couche-Tard to $57.00 from $55.00 following the company’s strong first-quarter earnings.
The convenience store chain’s stock shot higher $1.91, or 3.4%, to $58.61.
CIBC cut the target price on Penn West Petroleum to $1.50 from $2.50 after the company announced it is eliminating its dividend, cutting capex, and reducing its workforce by 35%. Penn West shares were unchanged at 84 cents.
CIBC also cut the target price on Pengrowth Energy to $3.00 from $3.50 as the company announced a reduction in its dividend by 83% and suspension of its dividend reinvestment program.
Pengrowth shares began the day down four cents, or 2.4%, to $1.61.
ON BAYSTREET
The TSX Venture Exchange moved higher 3.36 points to open Wednesday trading at 551.33
All but one of the 14 TSX subgroups were higher, as consumer staples vaulted 1.9%, health-care improved 1.8%, and global base metals strengthened 1.7%.
Energy scaled back 0.7%.
ON WALLSTREET
U.S. stocks jumped Wednesday, trying to recover from the worst start to a September in 13 years, as investors eyed calmer global markets and domestic data.
The Dow Jones industrial average recovered 112.01 points to 16,170.36. Apple briefly surged more than 2% to lead all blue chips higher, while information technology led nearly all S&P sectors higher.
The S&P 500 improved 12.79 points to 1,926.84,
The NASDAQ index jumped 39.04 points to 4,675.15
U.S. stocks closed nearly 3% lower on Tuesday for the worst first day of September trade since 2002. The Dow and S&P ended 2.5% above lows hit during last week's selloff.
Vera Bradley earnings came out before the bell. The handbag and accessories maker reported better-than-expected second-quarter revenue, helped by new products and marketing, Reuters reported. The firm also forecast third-quarter earnings from continuing operations and revenue above analysts' estimates.
In other corporate results before the bell Ambarella reported adjusted quarterly profit of 88 cents U.S. per share, beating estimates of 80 cents U.S., while revenue was also above forecasts. However, the maker of video processing chips is seeing its shares under pressure, following a report warning of possible risks to GoPro's third quarter results. Ambarella is one of GoPro's key suppliers.
H&R Block posted a loss of 35 cents U.S. per share, five cents less than analysts had anticipated. Revenue beat estimates, and the company also announced a $3.5-billion U.S. stock buyback program.
July's factory orders rose 0.4%, below consensus expectations for a 0.9% increase. The second-straight month of increases was driven by strong demand for auto sales. Durable goods orders for July were revised higher to 2.2% from 2%.
The Federal Reserve's latest Beige Book is due at 2 p.m.
Dow futures briefly held less than 100 points higher after the ADP report missed expectations slightly, showing creation of 190,000 private jobs versus expectations of 200,000.
Prices for 10-year U.S. Treasuries stayed put, keeping yields at Tuesday’s 2.18%.
Oil prices dropped three cents a barrel to $45.38 U.S.
Gold prices shed $2.70 to $1,137.10 U.S. an ounce.
