Canada's main stock index fell early on Thursday, with auto parts maker Magna International Inc shares down sharply after reporting a slip in sales, and as weakness in oil and other commodity prices weighed on resource stocks.
The S&P/TSX composite index began the day down 35.14 points to 13.626.68 13,661.82
The Canadian dollar dropped 0.1 cents at 75.95 cents U.S.
Air Canada reported a better-than-expected quarterly profit, helped by lower fuel costs. Lower costs boosted the company's operating margin by 6.5 percentage points during the third quarter. On an adjusted basis, the company earned $2.50 per share in the quarter, higher than the average analyst estimate of $2.21. The company's net income rose 35% to $437 million, or $1.48 per share. Operating revenue rose nearly 6% to $4.02 billion, above analysts' estimate of $3.94 billion.
Air Canada got lift of 84 cents, or 7.7%, to $11.70.
Canadian Natural Resources cut its 2015 capital expenditure estimate for the fifth time this year, as the company responds to a slump in oil and gas prices. The company reduced its capital expenditure estimate by an additional $65 million to $5.44 billion. The petroleum producer said net loss was $111 million, or 10 cents per share, in the third quarter, compared with a profit of $1.04 billion, or 94 cents per share, a year earlier. Revenue fell 34% to $3.11 billion.
Natural Resources stock soared $1.69, or 5.3%, to $33.63.
Crescent Point Energy Corp reported a third-quarter loss, compared with a profit a year earlier, hurt by a slump in oil prices. The company posted a net loss of $201.4 million, or 40 cents per share, in the three months ended Sept. 30. It earned $258.1 million, or 60 cents per share, a year earlier.
Crescent Point stock dipped 15 cents to $18.86.
Enbridge reported a 15.7% rise in quarterly adjusted profit, helped by increased throughput as producers moved more oil by pipelines than on rail. Its adjusted earnings rose to $399 million, or 47 cents per share, in the third quarter ended Sept. 30, from $345 million, or 41 cents per share, a year earlier.
Enbridge shares sank 86 cents, or 1.6%, to $53.89.
Magna International reported a 7% drop in quarterly sales, hurt by a strong U.S. dollar. However, the company raised the low end of its 2015 sales forecast to $31.3 billion from $30.9 billion. The company kept the top end of the guidance unchanged at $32.6 billion. Its revenue fell to $7.66 billion in the third quarter ended Sept. 30, from $8.25 billion a year earlier. Net income attributable to Magna fell 3.5% to $470 million, or $1.13 per share.
Magna shares reversed $8.95, or 12.9%, to $60.60.
On the economic slate, Western University’s Ivey Purchasing Managers Index by the end of October stood at 53.1, compared to September’s 53.7, and 51.2 last October.
ON BAYSTREET
The TSX Venture Exchange nicked up 1.76 points to 543.92
Even so, eight of the 13 TSX subgroups were higher to start things out, with telecoms ahead 0.8%, information technology moving higher 0.6%, and consumer staples improving 0.5%.
The five laggards were weighed most by metals and mining, off 4.3%, consumer discretionaries, down 3.3%, and gold, sliding 2%.
ON WALLSTREET
U.S. stocks traded mostly higher Thursday, resuming the upward trend for the month so far, ahead of Friday's key jobs report.
The Dow Jones industrial average recovered 31.8 points to open at 17,899.38, with Visa leading advancers and Chevron the greatest laggard.
The S&P 500 gained 2.72 points to 2,105.03, with information technology leading five sectors higher and energy the greatest laggard.
The NASDAQ index recouped 4.12 points to 5,146.60
Shares of Facebook gained more than 6%. The social media giant reported earnings after Wednesday's close that beat on both the top and bottom line.
Qualcomm posted adjusted quarterly profit of 91 cents U.S. per share, beating estimates by five cents, with revenue also exceeding forecasts. However, the chipmaker gave a current quarter outlook considerably below analyst forecasts, on increasing competition from overseas rivals.
Disney, Kraft Heinz, Monster Beverage, News Corp., Nvidia, Symantec, TripAdvisor, Dreamworks Animation, and Shake Shack are among the companies reporting after the close.
Ahead of Friday's report on October non-farm payrolls, weekly jobless claims came in at 276,000, above expectations.
Third-quarter productivity increased at a 1.6% annual rate, while labour costs rose 1.4%.
U.S. layoffs fell 14% in October from the prior month, a 1.3% decrease year-over-year, according to Challenger, Gray & Christmas.
Prices for 10-year U.S. Treasuries fell, raising yields to 2.25% from Wednesday’s 2.23%. Treasury prices and yields move in opposite directions.
Oil prices fell 41 cents a barrel to $45.91 U.S.
Gold prices slid 90 cents to $1,107.00 U.S. an ounce.
