(RTTNews.com) - The Canadian stock market is climbing in early trade Wednesday. The bulk of the Canadian sectors are trading in the green this morning, with the notable exception of the gold sector. A rally in global markets and today's better than expected GDP report have provided a boost to investor sentiment.
A report from Statistics Canada this morning showed that Canadian GDP increased by 0.1 percent in August. Economists had expected GDP to remain unchanged.
Markets in Europe are trading solidly in the green Wednesday. Positive corporate earnings and the rebound in global equity markets are helping to fuel the gains.
Markets on Wall Street are climbing Wednesday morning, extending the gains from the previous session. Traders were pleased by the better than expected private sector employment report ahead of Friday's all important jobs report.
The benchmark S&P/TSX Composite Index is up 154.69 points or 1.04 percent at 15,049.19.
On Tuesday, the index closed up by 172.75 points or 1.17 percent, at 14,894.50. The index scaled an intraday high of 14,899.20 and a low of 14,696.31.
The Capped Information Technology Index is gaining 2.91 percent. BlackBerry (BB.TO) is rising 2.28 percent and Sierra Wireless (SW.TO) is up 1.22 percent. Descartes Systems Group (DSG.TO) is climbing 3.27 percent and Constellation Software (CSU.TO) is higher by 3.04 percent.
The Energy Index is rising 1.97 percent. Encana (ECA.TO) is up 2.35 percent and Crescent Point Energy (CPG.TO) is climbing 1.87 percent. Canadian Natural Resources (CNQ.TO) is higher by 1.65 percent and Husky Energy (HSE.TO) is gaining 2.33 percent. Suncor Energy (SU.TO) is increasing 1.93 percent and Enbridge (ENB.TO) is adding 1.50 percent.
Cenovus Energy (CVE.TO) is advancing 2.01 percent after it reported a loss of $241 million for the third quarter of 2018, as against net profit of $275 million in the corresponding quarter last year.
The Capped Industrials Index is up 1.24 percent. Canadian Pacific Railway (CP.TO) is rising 1.08 percent and Canadian National Railway (CNR.TO) is higher by 2.33 percent. Finning International (FTT.TO) is advancing 0.04 percent and WestJet Airlines (WJA.TO) is gaining 4.24 percent.
Air Canada (AC.TO) is climbing 5.43 percent. The company reported a net profit of $645 million or $2.34 per diluted share for the quarter ended September 30, 2018, as compared with a profit of $1.72 billion or $6.22 per diluted share a year ago.
The heavyweight Financial Index is increasing 0.80 percent. Bank of Nova Scotia (BNS.TO) is gaining 1.29 percent and Canadian Imperial Bank of Commerce (CM.TO) is up 0.70 percent. National Bank of Canada (NA.TO) is higher by 0.52 percent and Royal Bank of Canada (RY.TO) is climbing 1.02 percent. Toronto-Dominion Bank (TD.TO) is rising 0.66 percent and Bank of Montreal (BMO.TO) is advancing 0.68 percent.
The Gold Index is decreasing 2.26 percent. Kinross Gold (K.TO) is lower by 2.56 percent and Goldcorp (G.TO) is losing 2.28 percent. Barrick Gold (ABX.TO) is declining 2.09 percent and IAMGOLD (IMG.TO) is falling 3.46 percent. Eldorado Gold (ELD.TO) is lower by 2.20 percent and B2Gold (BTO.TO) is surrendering 4.36 percent. Yamana Gold (YRI.TO) is weakening by 3.24 percent.
The Capped Telecommunication Services Index is down 0.39 percent. BCE (BCE.TO) is lower by 0.02 percent and TELUS (T.TO) is losing 0.07 percent. Rogers Communications Inc. (RCI.B.TO) is falling 1.19 percent.
Maxar Technologies Ltd. (MAXR.TO) is sinking 37.71 percent after its reported net loss of $7.31 per share for the third quarter, as compared to net profit of $0.34 in the year-ago quarter.
TransAlta Corporation (TA.TO) is losing 3.91 percent after it reported third quarter net loss of $86 million, compared to a net loss of $27 million in 2017.
On the economic front, the manufacturing sector in China continued to expand in October, albeit at a slower pace, the latest survey from the National Bureau of Statistics said on Wednesday with a manufacturing PMI score of 50.2.
That missed expectations for 50.6 and was down from 50.8 in September - although it remains above the boom-or-bust line of 50 that separates expansion from contraction.
The bureau also said its non-manufacturing index came in with a score of 53.9 - missing forecasts for 54.6 and down from 54.9 in the previous month.
Eurozone inflation accelerated to a near six-year high in October largely on energy prices and the unemployment rate was at its lowest since 2008, despite the economy growing at the slowest pace in four years.
Inflation rose to 2.2 percent in October from 2.1 percent in September, flash data from Eurostat showed Wednesday. A similar higher rate was last seen in December 2012. The rate came in line with expectations.
The euro area jobless rate remained unchanged at its lowest level in almost a decade in September, figures from Eurostat showed Wednesday. The unemployment rate remained unchanged at seasonally adjusted 8.1 percent in September. This was the lowest since November 2008 and matched economists' expectations.
Germany's retail sales monthly growth in September was less than what economists expected, preliminary data from the Federal Statistical Office showed on Wednesday. Retail sales in real terms edged up a calendar and seasonally adjusted 0.1 percent from August, when sales fell 0.3 percent, revised from 0.1 percent. Economists had forecast a 0.5 percent increase.
France's consumer price inflation was steady in October, after easing in the previous month, preliminary data from the statistical office INSEE showed on Wednesday. The consumer price index rose 2.2 percent year-on-year, same as in September. Economists had forecast a modest acceleration to 2.3 percent.
UK consumer confidence weakened as expected in October, market research firm GfK reportedly said Wednesday. The consumer sentiment index dropped to -10 in October from -9 in September. The reading came in line with expectations.
Payroll processor ADP released a report on Wednesday showing another significant increase in employment in the U.S. private sector in the month of October. ADP said private employment jumped by 227,000 jobs in October after surging up by a downwardly revised 218,000 jobs in September.
Economists had expected an increase of about 189,000 jobs compared to the addition of 230,000 jobs originally reported for the previous month.
Growth in Chicago-area business activity decelerated for the third straight month in October, according to a report released by MNI Indicators on Wednesday.
MNI Indicators said its Chicago business barometer fell to 58.4 in October from 60.4 in September, although a reading above 50 still indicates growth. Economists had expected the index to edge down to 60.0.
In commodities, crude oil futures for November delivery are down 0.20 or 0.30 percent at $65.98 a barrel.
Natural gas for November is up 0.025 or 0.78 percent at $3.212 per million btu.
Gold futures for December are down 10.40 or 0.85 percent at $1,214.90 an ounce.
Silver for December is down 0.167 or 1.15 percent at $14.295 an ounce.
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