Canadian Shares Edging Higher After Weak Start
(RTTNews) - After edging lower in early trades Wednesday morning, the Canadian benchmark S&P/TSX Composite Index recovered and moved higher, led by gains in energy section thanks to a jump in crude oil prices.
The mood, however, remains somewhat cautious due to recession fears. Uncertainty about resumption of trade talks between the U.S. and China, no-deal Brexit fears and inversion of the U.S. yield curve weighed on the market.
The benchmark, which eased to a low of 16,166.28 in early trades, was up 80 points, or 0.5%, at 16,263.70.
On Tuesday, the index ended up 84.80 points, or 0.53%, at 16,183.59, slightly off the day's high of 16,193.28.
National Bank of Canada (NA.TO) was up by about 0.5%. The bank reported a net profit of $608 million or $1.66 per diluted share for the third quarter ended July 31, compared to net profit of $569 million or $1.52 per diluted share in the year-ago quarter.
CDN Western Bank (CWB.TO), Canadian Imperial Bank of Commerce (CM.TO), Bank of Nova Scotia (BNS.TO), Royal Bank of Canada (RY.TO) and Laurentian Bank (LB.TO) were up 0.4 to 1.4%.
Energy shares Crescent Point Energy (CPG.TO), Kelt Exploration (KEL.TO), Torc Oil and Gas (TOG.TO), Whitecap Resources (WCP.TO), Enerplus Corp (ERF.TO), Baytex Energy (BTE.TO), Seven Generations Energy (VII.TO), Precision Drilling (PD.TO) and Ensign Energy Services (ESI.TO) were up 4 to 9%.
Parex Resources (PXT.TO), ARC Resources (ARX.TO), Vermilion Energy (VET.TO), Tourmaline Oil Corp (TOU.TO) and MEG Energy (MEG.TO) also rose sharply.
In the mining space, Hudbay Minerals (HBM.TO), Norbord (OSB.TO), Barrick Gold Corp (ABX.TO) and Ivanhoe Mines (IVN.TO) gained 1 to 3.2%.
On the other hand, B2Gold Corp (BTO.TO), Novagold (NG.TO), Detour Gold (DGC.TO) and Franco-Nevada Corp (FNV.TO) shed 1 to 3%.
SNC-Lavalin Group (SNC.TO) announced it has secured a significant contract to provide Programme Management Office services on the Inland Rail Programme, supporting global professional services company Turner & Townsend. It is the largest freight rail infrastructure project in Australia. The stock was down 1.7%.
U.S. stocks were turning in a mixed performance after a weak start. Most of the markets across Europe closed weak, while Asian markets ended mixed.