(AMENDED TO REFLECT IVEY PMI REPORT)
Equities in Toronto rose at the open on Tuesday as tensions receded over a standoff between the United States and Iran, following an absence of escalation by either side.
The TSX Composite Index gained 28.14 points to begin Tuesday at 17,133.61
The Canadian dollar let go of 0.34 cents to 76.79 cents U.S.
National Bank of Canada cut the price target on Finning International to $29.00 from $29.50. Finning shares retreated 19 cents to $25.08.
CIBC raised the price target on Hudson's Bay Co. to $11 from $10.25. Bay shares acquired a penny to $10.85.
National Bank of Canada ups the price target North American Construction to $24.50 from $23.50. Shares in North American dipped 15 cents to $15.80.
Citigroup raises price target on Precision Drilling target to $2.20 from $1.80. Precision shares lost one cent to $1.98.
National Bank of Canada raises price target on Stantec to $40.00 from $36.00. Stantec gave back a penny to $37.04.
On the economic front, Statistics Canada reported our Canada's merchandise exports declined 1.4% in November, while imports were down 2.4%.
As a result, Canada's merchandise trade deficit with the world narrowed from $1.6 billion in October to $1.1 billion in November.
Elsewhere, Western University’s IVEY School of Business unveiled its Purchasing Managers’ Index report for December, which stood at 51.9, indicating that purchases were greater than the previous month.
The number is down sharply from November’s 60 reading, and also quite a way off from the figure of 59.7 for December 2018.
ON BAYSTREET
The TSX Venture Exchange recovered 2.34 points to 584.09
All but two of the 12 TSX subgroups gained ground to begin the session, led by information technology, up 0.8%, while gold and consumer discretionary stocks each put on 0.5%.
The two laggards were energy, fading 0.8%, and health-care, down 0.2%.
ON WALLSTREET
Stocks dipped on Tuesday as Wall Street assessed the growing geopolitical risks stemming from U.S.-Iran tensions.
The Dow Jones Industrials dropped 110.47 points to 28,592.91.
The S&P 500 sank 10.25 points to 3,236.03.
The NASDAQ lopped off 17.32 points to 9,054.15.
Chevron and Intel fell more than 1% each to lead the Dow lower. Energy and real estate were the worst-performing sectors in the S&P 500, falling more than 1% each.
President Donald Trump announced last week that the U.S. had killed Iran’s top military commander in Baghdad, Gen. Qasem Soleimani.
The president also said Sunday that he could slap sanctions on Iraq, after its parliament passed a resolution calling for the government to expel foreign troops from the country.
On the data front, the Institute for Supply Management said its reading on the U.S. services sector came in at 55, slightly better than expected.
Prices for the 10-Year U.S. Treasury were unchanged, keeping yields at Monday’s 1.80%.
Oil prices dropped 62 cents to $62.65 U.S. a barrel.
Gold prices added 60 cents at $1,569.40 U.S. an ounce.
