Canada’s main stock index rose at the open on Thursday, in broad-based gains, led by cannabis stocks as legalization of marijuana derivatives including edibles and beverages took effect.
The TSX Composite Index gained 39.04 points to kick off Thursday trading at 16,466.22
The Canadian dollar recovered 0.30 cents to 76.05 cents U.S.
Barrick Gold estimated lower third-quarter gold production from the second, as the Canadian miner’s output was hit by restrictions on its North Mara operations in Tanzania.
Barrick shares picked up eight cents to $42.46.
TC Energy Corp has declared force majeure on shipments on its 590,000-barrel-per-day Keystone oil pipeline after a snow storm hit Manitoba over the weekend, disrupting operations. TC shares gained two cents to $67.63.
CIBC raised the target price on Air Canada to $54.00 from $53.00. Air Canada increased 19 cents to $45.57.
CIBC cut the target price on Kinder Morgan Canada to $14.50 from $15.00. Kinder shares acquired two cents to $14.25.
National Bank of Canada raised the target price on SilverCrest Metals to $9.50 from $9.00. SilverCrest tacked on 10 cents, or 1.3%, to $7.99.
On matters macroeconomic, Statistics Canada reported manufacturing sales rose 0.8% to $57.6 billion in August, following two consecutive monthly declines.
The transportation equipment and fabricated metal industries were mainly responsible for the growth in August.
ON BAYSTREET
The TSX Venture Exchange pointed upward 0.85 points to 539.90
All but three of the 12 Toronto subgroups were positive, with health-care up 2.4%, materials surging 1.1%, and gold, ahead 0.7%.
The three laggards were consumer discretionary stocks, down 0.1%, while utilities and communications each off 0.02%.
ON WALLSTREET
Stocks traded higher on Thursday as investors cheered strong earnings results from companies such as Netflix and Morgan Stanley. Sentiment was also lifted by European Union and the U.K. striking a deal on Brexit.
The Dow Jones Industrials regained 81.71 points to start off Thursday trading at 27,083.69. J.P. Morgan Chase was the best-performing stock in the Dow, rising more than 1%.
The S&P 500 rebounded 16.23 points to 3,005.92.
The NASDAQ Composite moved higher 47.88 points to 8,172.07
Netflix shares jumped 4.4% after the video streamer posted earnings that topped analyst expectations. The company reported a bigger-than-expected increase in international paid subscribers, which mitigated a big miss in domestic subscriber adds.
Morgan Stanley also got a boost from its quarterly numbers, trading more than 3% higher. The bank’s results got a boost from stronger-than-anticipated trading and advisory revenues.
Overall, the corporate earnings season is off to a solid start. More than 76% of the S&P 500 companies that have reported have topped analyst earnings expectations
Stocks also rose after U.K. Prime Minister Boris Johnson said "we have a great new Brexit deal" via Twitter. He called on British lawmakers to back the deal when it’s put before Parliament on Saturday. Meanwhile, European Commission President Jean-Claude Juncker tweeted that the deal was a "fair and balanced" one.
This is not a done deal, however. The U.K. Parliament has to approve the deal before it can be implemented.
Prices for the benchmark 10-year U.S. Treasury hesitated, raising yields to 1.76% from Wednesday’s 1.75%. Treasury prices and yields move in opposite directions.
Oil prices lost 40 cents to $52.96 U.S. a barrel.
Gold prices gained $2.90 to $1,496.90 U.S. an ounce.
