Stocks in Canada’s largest market fell early Friday, weighed by energy stocks as oil prices retreated, while Bombardier Inc surged on reports it is close to a deal to sell up to 125 CSeries jets to a U.S. airline.
The S&P/TSX Composite Index capsized 58.99 points to open Friday at 13,609.30.
The Canadian dollar dipped 0.27 cents to 77.57 cents U.S.
Mitel Networks said on Friday it would buy fellow voice and telephony gear maker Polycom for about $1.96 billion in cash and stock, satisfying a demand from hedge fund Elliott Management.
Mitel shares plummeted 89 cents, or 8.8%, to $9.19.
Valeant Pharmaceuticals International has reportedly brought in investment banks to review its options amid interest from buyout firms and other companies in a number of its businesses. Valeant shares eked up three cents to $41.69.
CIBC raised the price target on Canadian Natural Resources to $47.00 from $40.00. Natural Resources shares dipped 97 cents, or 2.6%, to $36.55.
CIBC raised the price target on Husky Energy to $19.00 from $16.00. Husky shares lost 32 cents, or 1.9%, to $16.40.
CIBC cut the price target on Shaw Communications to $27.00 from $29.00. Shaw shares skidded 20 cents to $23.34.
On the economic slate, Statistics Canada reported manufacturing sales for February slumped 3.3% to $51.2 billion, following three months of consecutive gains.
According to figures published by the Canadian Real Estate Association, national home sales posted their third monthly increase and broke all previous monthly records. National home sales rose by 1.5% from February to March. Actual (not seasonally-adjusted) activity was up 12.2% compared to March 2015.
ON BAYSTREET
The TSX Venture Exchange gained 1.64 points to 627.06
Eight of the 13 TSX subgroups were negative to start the day, as metals and mining doffed 3.6%, energy shed 2.4% of that sector’s strength, and materials wilted 1%.
The five gainers were led by telecoms and consumer staples, each up 0.3%, while industrials picked up 0.2%.
ON WALLSTREET
U.S. stocks traded in a narrow range Friday as investors surveyed earnings and oil prices ahead of the highly anticipated producer meeting on Sunday.
The Dow Jones Industrials slid 23.53 points to 17,902.90, with Cisco leading decliners and Travelers the greatest advancer.
The S&P 500 dropped 1.67 points to 2,081.11. Energy traded more than 1% lower as the greatest laggard in the S&P 500.
The NASDAQ index fell 9.65 points to 4,936.23
Citigroup posted first-quarter earnings per share of $1.10, falling 27% from $1.51 U.S. a share in the year-earlier period. Revenue for the quarter came in at $17.55 billion U.S., against the comparable year-ago figure of $19.81 billion U.S. However, both earnings and revenue topped expectations.
The stock was up more than 2% in morning trade.
In other corporate news, Bats Global Markets made its second attempt at an initial public offering, pricing its IPO late Thursday at $19.00 U.S. a share, the high end of the expected range. The company's previous IPO attempt four years ago failed due to technical issues.
Economic news was mixed, with the Empire State Manufacturing Survey rising nine points in April to 9.6, its highest in more than a year, while U.S. industrial production fell 0.6% in March, more than expected. Consumer sentiment was 89.7.
Oil producers led by top exporters Saudi Arabia and Russia plan to meet in Qatar on Sunday to discuss freezing output around current levels in an effort to contain a global supply glut.
Overnight, official data showed China's gross domestic product grew at an annual rate of 6.7% in the first quarter, a touch below the fourth-quarter's 6.8% rate.
Prices for the 10-year Treasury gained, lowering yields to 1.76% from Thursday’s 1.79%. Treasury prices and yields move in opposite directions.
Oil prices dipped 86 cents a barrel to $40.64 U.S.
Gold prices took on 41 cents to $1,228.30 U.S. an ounce.
