Equity markets in Canada’s largest centre were virtually unchanged on Wednesday, despite strong quarterly results from companies including e-commerce giant Shopify and retailer Loblaw while data showed Canada’s annual inflation rate dipped in June.
The TSX Composite index edged up 1.45 points to 20,174.80
The Canadian dollar lost 0.19 cents to 79.40 cents U.S.
Tilray reported quarterly revenue that fell short of analysts’ estimates, hurt primarily by COVID-19 lockdowns in its key Canadian market. Shares in the cannabis company catapulted $3.75, or 23.4%, to $19.78.
Loblaw Cos beat estimates for quarterly revenue, as consumer demand for groceries and other essentials stayed robust during the pandemic. Loblaw shares took on 18 cents to $81.79.
Shopify, meanwhile, was pummeled $43.29, or 2.2%, to $1,914.38.
On the economic slate, Statistics Canada said its consumer price index rose 3.1% on a year-over-year basis in June, down from a 3.6% gain in May. On a seasonally adjusted monthly basis, the CPI rose 0.1% in June.
ON BAYSTREET
The TSX Venture Exchange reclaimed 3.48 points to 902.29.
Seven of the 12 TSX subgroups were positive in the first hour Wednesday, as health-care soared 8.4%, energy charged ahead 0.4%, and consumer discretionary eked higher 0.3%.
The four laggards were weighed most by information technology, settling 0.5%, while industrials and communications each fell 0.2%. Real-estate issues were unchanged at the opening bell.
ON WALLSTREET
The S&P 500 was little changed on Wednesday as investors parsed through a slew of corporate results while awaiting a key policy update from the Federal Reserve.
The Dow Jones Industrials retreated 84.37 points to 34,973.65.
The S&P 500 fell 0.62 points to 4,400.84,
The NASDAQ popped 101.39 points to 14,761.96.
The major averages are still on track to end the month higher. The S&P is up 2.4% for July, while the NASDAQ has progressed 1.1%, and Dow has gained 1.6%.
Boeing shares climbed about 6% after the manufacturer posted its first profit since the third quarter of 2019 thanks to a rebound in aircraft deliveries. Pfizer shares rose bout 2% after the company reported stronger-than-expected earnings and raised its 2021 sales forecast for the COVID vaccine.
Investors also digested a host of quarterly results from megacap tech names. Google-parent Alphabet popped more than 4% after the tech giant posted quarterly results, registering a 69% jump in advertising revenue.
Apple shares dipped 2.5% after CEO Tim Cook warned that silicon “supply constraints” will affect sales the iPhone as well as the iPad. The company did beat top- and bottom-line estimates and said iPhone sales surged 50% year over year.
Microsoft saw its shares rise slightly after reporting an earnings beat despite a dip in revenue from its Windows division.
The Fed will conclude its two-day meeting on monetary policy Wednesday. The Federal Open Market Committee is set to release a statement at 2 p.m. ET followed by a press conference with Chairman Jerome Powell.
Prices for 10-Year Treasurys faded, raising yields to 1.25% from Tuesday’s 1.24%. Treasury prices and yields move in opposite directions.
Oil prices captured 45 cents to $72.10 U.S. a barrel.
Gold prices slid $4.80 to $1,795.00 U.S. an ounce.