Stock markets in Canada’s biggest centre held onto their gains midday Thursday, led by gold as global risk aversion eased, while the materials and consumer discretionary sectors also climbed as investors weighed a batch of corporate earnings reports.
The S&P/TSX Composite added 49.22 points to greet noon at 14,643.94
The Canadian dollar retreated 0.1 cents to 74.65 cents U.S.
Among financials, Manulife Financials Corp. advanced 1.5% to $19.26.
Gains for financials came as a U.K. court ruled that parliament must approve a government decision to trigger Brexit, lifting European stocks and bond yields and easing tension in markets rattled by U.S election nerves.
Encana Corp jumped 5.6% to $13.19. The oil and natural gas producer posted a quarterly profit on an operating basis as a steep fall in costs helped offset the impact of weak commodity prices.
In contrast, Enbridge Inc fell 2.3% to $54.66. Canada's largest pipeline company reported a quarterly profit that missed estimates as warmer-than-expected weather weighed on its unit that distributes natural gas for heating purposes.
Automotive supplier Magna International Inc reported a better-than-expected quarterly profit, helped by strong demand from Asia and Europe. Its shares rose 1.8% to $54.75.
Barrick Gold gained 2% to $24.73, while spot gold was little changed after posting a four-week high the day before on rising U.S. election uncertainty.
Agrium dipped 0.3% to $121.20. The fertilizer maker reported a surprise quarterly loss as it grapples with low fertilizer and crop prices, and also cut its full-year profit forecast.
Shares of Air Canada fell 1.8% to $11.97. Federal Transport Minister Marc Garneau said Canada will lift the limit for foreign investment in Canadian airlines to 49% from 25% to try to boost competition and cut fares
ON BAYSTREET
The TSX Venture Exchange fell 2.2 points to 767.91
All but three of the 12 TSX subgroups were higher, with gold soaring 1.2%, materials up 0.9%, and consumer discretionary plays advancing 0.7%.
The three laggards were health-care, down 2.3%, and utilities, off 0.3%, and consumer staples, sliding 0.2%.
ON WALLSTREET
U.S. stocks traded lower midday on Thursday as investors parsed through key economic data and corporate reports, and as concerns over the presidential election remained.
The Dow Jones Industrials dropped 2.74 points to greet noon at 17,956.90, with Walt Disney and IBM contributing the most gains
The S&P 500 fell 3.72 points at 2,094.22, with telecommunications leading seven sectors higher and information technology lagging.
The NASDAQ composite index subtracted 26.15 points to 5,079.41
On the earnings front, Chesapeake was among the firms reporting results before the bell. Social media giant Facebook posted better-than-expected results Wednesday after the close. That said, the stock fell 4.7% in early trade Thursday
Recent data points to earnings being not as good as they were in previous weeks. Entering Monday, 73% of the 289 S&P components that posted results had exceeded bottom-line estimates, whereas just 66% of the 104 components reporting this week have beaten expectations.
Initial U.S. jobless claims came in at 265,000, above a consensus estimate of 258,000. Also, the preliminary read on third-quarter productivity showed an increase of 3.1%, well above the expected rise of 2%.
Other data released Thursday included the Institute for Supply Management non-manufacturing index for October, which came in below expectations. Factory orders, meanwhile, rose for a third straight month.
Prices for the 10-year Treasury sagged, raising yields to 1.81% from Wednesday’s 1.8%. Treasury prices and yields move in opposite directions.
Oil prices sank 59 cents to $44.75 U.S. a barrel
Gold prices fell $8.20 to $1,300 U.S. an ounce.
