Equities in Toronto opened flat on Thursday, as gains in gold miners on the back of a jump in bullion prices were offset by broader caution about rising coronavirus cases globally.
The S&P/TSX Composite Index opened Thursday up 7.33 points to 16,178.39.
The Canadian dollar eked higher 0.07 cents at 74.60 cents U.S.
Cenovus Energy posted a second-quarter loss and said the worst was behind the industry after the COVID-19 pandemic hammered global demand for crude oil and refined products. Cenovus shares dipped 15 cents, or 2.2%, to $6.54.
Suncor Energy posted a bigger-than-expected quarterly loss on Wednesday, as oil prices tumbled on the back of a rapid decline in global
demand caused by the coronavirus pandemic. Suncor shares declined 88 cents, or 3.7%, to $23.09.
Rogers Communications missed quarterly revenue and profit estimates on Wednesday, as coronavirus-led restrictions hurt demand for its wireless services while cancellation of sporting activities sparked a slump in ad sales. Rogers shares gained 40 cents to $55.36.
ON BAYSTREET
The TSX Venture Exchange dropped 4.13 points at the open to 689.67.
Eight of the 12 TSX subgroups were making progress, with information technology collecting 1%, consumer staples up 0.8%, and real-estate 0.4% to the good.
The three laggards proved to be energy and health-care, each subsiding 1.8%, and financial, poorer 0.1%.
Gold stocks were unchanged early Thursday.
ON WALLSTREET
Stocks traded lower Thursday following the release of disappointing unemployment data and mixed reactions to the latest corporate earnings.
The Dow Jones Industrials dropped 110.06 points to 26,895.78, after three straight days of gains.
The S&P 500 docked 7.64 points to 3,268.15, threatening to end a four-day winning streak.
The NASDAQ lost 44.5 points to 10,661.63.
U.S. weekly jobless claims came in at 1.416 million for last week, marking the 18th straight week in which initial claims totaled more than one million. Economists expected another 1.3 million workers to have filed initial claims for state unemployment benefits, according to Dow Jones.
This stalling in the labor market comes as lawmakers work on an additional stimulus package for those impacted by the coronavirus pandemic.
On Wednesday, sources told the media that Republicans were considering extending a $600-per-week unemployment benefit at a reduced rate of $100 per week. On Thursday, Treasury Secretary Steven Mnuchin said an extension in unemployment benefits will be based on "approximately 70% wage replacement."
Wall Street’s attention was also on earnings announcements from several U.S. companies, but especially Microsoft and carmaker Tesla.
Despite better-than-expected figures, software giant Microsoft shares fell 2%. Though the company’s results were largely positive, Microsoft said its transactional license purchasing continued to slow and that subsidiary LinkedIn was negatively impacted by the weak job market.
Tesla, meanwhile, blew past analyst expectations and posted its fourth consecutive quarter of profit, opening the door for the company’s inclusion in the S&P 500. Excluding one-time charges, Tesla’s second-quarter earnings per share of $2.18 were well above the three cents per share expected by analysts.
Elon Musk’s automaker also said it’s set “for a successful second half” and reiterated its goal of delivering 500,000 vehicles this year. Tesla shares rose 5.5%.
Prices for the 10-Year Treasury gained ground, weighing yields to 0.58% from Wednesday’s 0.60%. Treasury prices and yields move in opposite directions.
Oil prices slid 17 cents to $41.73 U.S. a barrel.
Gold prices brightened $13.10 to $1,878.20 U.S. an ounce.
