Equities in Canada’s largest market barely budged Thursday from Wednesday’s close weighed down by technology stocks and escalating geopolitical tensions between Russia and Ukraine, while retailer Canadian Tire Corp jumped on upbeat corporate earnings.
The S&P/TSX Composite crept ahead 2.34 points to begin Thursday at 21,385.98.
The Canadian dollar brushed off 0.09 cents at 78.75 cents U.S.
Canadian Tire shares gained $11.46, or 6.2%, to $195.99.
Nutrien said on Wednesday a surge in prices of potash due to robust global demand and thin supply would boost its profit in 2022, sending
its U.S. shares more than 5% higher in extended trading. Here in Canada, they traded for $98.77, for a gain of $3.49, or 3.7%.
CIBC raised the target price on Bank of Montreal to $158.00 from $145.00. BMO shares ditched 50 cents to $148.88.
National Bank of Canada resumes coverage on Equitable Group with outperform rating. Equitable shares grabbed 22 cents to $76.52.
CIBC raised the rating on Keyera Corp to outperform from neutral. Keyera shares gained 21 cents to $30.60.
Russia-backed separatists in eastern Ukraine accused government forces of opening fire on their territory four times in the past 24 hours. The incidents come as Russia has massed more than 100,000 troops close to Ukraine’s borders, raising fears of an invasion.
On the economic slate, Statistics Canada reported foreign investment in Canadian securities totalled $37.6 billion in December, the largest investment since April 2020. At the same time, Canadian investors increased their holdings of foreign securities by $21.3 billion, led by purchases of U.S. instruments.
The Bank of Canada says it will be nimble and potentially “forceful” in tackling uncomfortably high inflation, setting the stage for an aggressive campaign of interest rate increases.
ON BAYSTREET
The TSX Venture Exchange lost 2.63 points to 867.43.
The 12 TSX subgroups were evenly divided between gainers and losers, with gold darting 1.2% higher, materials improving 1.1%, and energy rumbling 1%.
The half-dozen laggards were weighed most by information technology, off 0.9%, while health-care and financials doffed 0.5% each.
ON WALLSTREET
Stocks declined Thursday as investors eyed the Russia-Ukraine conflict and digested corporate earnings reports.
The Dow Jones Industrials caved 433.07 points, or 1.2%, to 34,501.20.
The S&P 500 fell 54.37 points, or 1.2%, to 4,420.64.
The NASDAQ stumbled 169.99 points, or 1.2%, to 13,954.11.
The selloff in stocks was broad-based, with financials and technology leading S&P 500 sectors lower.
For the week, the S&P 500 is marginally higher and the NASDAQ Composite is up more than 1%. The Dow is the relative laggard, down slightly on the week.
Walmart topped expectations and reaffirmed guidance, sending its shares up more than 1%. Cisco rose more than 4% after the company also topped estimates and raised guidance. DoorDash saw its shares surge more than 14% after reporting better-than-expected revenue and order numbers.
Ongoing tension at the Russia-Ukraine border continued to impact market sentiment. The U.S. Ambassador to the United Nations said Thursday the conflict had reached a “crucial moment.” Ukraine accused pro-Russian separatists of attacking a village near the border.
On the economic front, weekly jobless claims numbers came in at 248,000, rising from the previous week and above the 218,000 expected, according to a Dow Jones estimate. Housing permits for January showed a surprise increase, but housing starts lagged expectations.
Prices for 10-year Treasurys moved higher, weighing yields to 1.97%, from Wednesday’s 2.03%. Treasury prices and yields move in opposite directions.
Oil prices slipped $1.79 to $91.87 U.S. a barrel.
Gold prices leaped $25.40 to $1,896.90 U.S. an ounce.