Canadian Stocks Falter After Recovering From Early Setback

(RTTNews) - After a weak start and a subsequent recovery that resulted in a very brief time in positive territory, the Canadian market faltered again Thursday morning and is languishing in red about half an hour past noon.

Concerns about spikes in new coronavirus cases in the U.S. and a few other countries across the world have once again raised uncertainty about any quick economic recovery despite recent positive updates on potential coronavirus vaccines.

Healthcare and information technology stocks are the most prominent losers. Materials and real estate shares are also mostly lower. Energy, telecom and financial stocks are finding modest support, while consumer discretionary and industrial shares are mixed.

The benchmark S&P/TSX Composite Index, which rallied to 16,069.07 after falling to around 15,965, has recovered to 15,974.27, but is down with a loss of 89.04 points or 0.55%.

Air Canada (AC.TO), which ended with a hefty gain on Wednesday, is down by about 5% now on fairly heavy volumes. Shopify Inc. (SHOP.TO) is declining 3%, while Bombardier Inc. (BBD.B.TO), Barrick Gold Corp (ABX.TO) and B2Gold Corp (BTO.TO) are down 1.2 to 1.7%.

Ballard Power Systems (BLDP.TO) is down more than 4%, while Descartes Systems Group (DSG.TO), BRP Inc. (DOO.TO), Cargojet (CJT.TO) and Constellation Software (CSU.TO) are lower by 1 to 3%.

Crescent Point Energy (CPG.TO), Husky Energy (HSE.TO) and Manulife Financial Corporation (MFC.TO) are up 2.3%, 3.5% and 1.7%, respectively.

Cogeco Inc. (CGO.TO) shares are up 0.6%. The company reported third-quarter net profit of $97.5 million of which $31.1 million, or $1.96 per share, was attributable to owners of the Corporation compared to $185.0 million, $59.9 million, and $3.71 per share, respectively, for the same period of fiscal 2019.

Cogeco Communications Inc. (CCA.TO) announced that profit for the quarter ended 31 May 2020 amounted to $96.7 million, of which $90.8 million, or $1.89 per share, was attributable to owners of the Corporation compared to $182.0 million, $179.1 million, and $3.62 per share, respectively, in the comparable period of fiscal 2019. The stock is down by about 0.7%.

In economic news, private businesses in Canada hired a record 1042.9 thousand workers in June of 2020, after shedding 2059.4 thousand jobs in May, as many businesses reopened across the country amid the gradual lifting of lockdown restrictions.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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