Canada’s main stock index were fairly flat first thing on Wednesday, dragged by energy stocks, as oil prices fell after a surprise build-up in U.S. crude stockpiles stoked concerns of a supply glut and a spike in global COVID-19 cases fueled demand worries.
The TSX had gained 18.03 points soon after Wednesday’s opening bell to 16,291.29.
The Canadian dollar edged up 0.06 cents to 76.26 cents U.S.
RBC raised the target price on Boyd Group Services to $222.00 from $218.00. Boyd shares skidded $2.21, or 1.1%, to $202.23.
JP Morgan raises target price on Canadian Pacific Railway to $497.00 from $483.00. CP shares backpedaled 39 cents to $419.77.
Canadian National Railway fell $4.95, or 3.4%, the most on the TSX, to $142.00, after the railroad operator posted third-quarter profit below analysts’ expectations.
Imperial Oil Limited shares were down 27 cents, or 1.6%, to $16.70.
Weed stocks Aurora Cannabis gained 45 cents, or 7.6%, to $6.39, and Canopy Growth jumped $1.80, or 7.3%, to $26.57.
National Bank of Canada raised the price target on Intact Financial to $168.00 from $165.00. Intact shares moved ahead 89 cents to $142.97.
On the economic calendar, Statistics Canada reported the Consumer Price Index (CPI) rose 0.5% on a year-over-year basis in September, up from a 0.1% increase in August.
On a seasonally-adjusted monthly basis, the CPI rose 0.1% in September, matching the increase in August.
The agency also reported that retail sales rose 0.4% to $53.2 billion in August—the fourth consecutive monthly increase since the record decline in April, led by higher sales at building material and garden equipment and supplies dealers and food and beverage stores.
StatsCan also said prices of new homes surged across the nation by 1.2% in September following a 0.5% increase in August.
The TSX Venture Exchange recovered 1.48 points to 714.14.
All but two of the 12 TSX subgroups gained ground, led by gold, improving 2.2%, materials, up 2%, and health-care, picking up 1.8%.
The two laggards were energy, skidding 0.9%, and industrials, falling 0.7%.
Stocks rose on Wednesday as House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin continue their negotiations on a new fiscal stimulus package.
The Dow Jones Industrials strengthened 77.9 points to begin Wednesday at 28,386.69.
The S&P 500 added 19.16 points to 3,462.03.
The NASDAQ hiked 84.47 points to 11,600.96.
A slew of companies reported quarterly earnings after the bell on Tuesday, most notably Netflix. Shares of the streaming giant slipped 5.7% after the company missed earnings estimates, and reported fewer-than-expected subscriber additions. On the other hand, shares of Snap jumped 22% after the company reported a surprise earnings beat.
White House chief of staff Mark Meadows said Pelosi and Mnuchin have made “good progress” on stimulus talks. He added, however, that they “still have a ways to go” before an agreement is reached.
Following Pelosi and Mnuchin’s meeting on Tuesday, Meadows told reporters the two will talk again on Wednesday, and that he hopes to see “some kind of agreement before the weekend.”
Prices for the 10-Year Treasury retreated, lifting yields to 0.81% from Tuesday’s 0.79%. Treasury prices and yields move in opposite directions.
Oil prices slumped 67 cents at $41.03 U.S. a barrel.
Gold prices climbed $14.40 to $1,929.80