US Markets

TSX flat as upbeat earnings offset energy losses

Credit: REUTERS/Chris Helgren

Canada's main stock index treaded water on Thursday as upbeat earnings from companies including Shopify countered losses in energy shares on the back of lower crude prices.

Aug 1 (Reuters) - Canada's main stock index treaded water on Thursday as upbeat earnings from companies including Shopify countered losses in energy shares on the back of lower crude prices.

* Shopify Inc SHOP.TO rose 8% after the e-commerce company raised its full-year revenue forecast and reported a quarterly profit that handily beat Wall Street estimates, as the investments to attract customers to its product offerings paid off.

* The energy sector .SPTTEN, which accounts for nearly a fifth of the index's weight, dropped 1.9%, the most among the major Canadian sectors trading lower.

* Oil prices fell for the first time in six days, after the U.S. Federal Reserve dampened hopes for a string of interest rate cuts and as rising U.S. output helped keep the market well supplied.

* A rising dollar makes oil more expensive for holders of other currencies and tends to weigh on commodities priced in the U.S. currency. The dollar hit a two-year peak against the euro on Thursday after the Fed decision. USD/

* The U.S. central bank reduced borrowing costs by a widely expected quarter of a percentage point on Wednesday, but Fed Chairman Jerome Powell signaled a series of further cuts was unlikely, leading to a sharp selloff.

* At 9:49 a.m. ET (1349 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was down 2.58 points, or 0.02%, at 16,403.98.

* The materials sector .GSPTTMT, which includes precious and base metals miners and fertilizer companies, lost 0.4% as gold futures GCc1 fell 1.5% to $1,404.7 an ounce. GOL/MET/L

* Thomson Reuters Corp's shares TRI.TO rose 2.1% after the news and information provider raised its sales and core profit outlook for 2019 and 2020.

* The largest percentage gainer on the TSX was Spin Master Corp TOY.TO, which jumped 12.9% after the company's quarterly profit topped estimates.

* Element Fleet Management Corp EFN.TO followed closely behind with a 8.5% rise after its second-quarter revenue beat expectations.

* Hudbay Minerals HBM.TO plunged 21.1%, the most on the TSX, after a court ruling barred the company from proceeding with construction at its Rosemont project in Arizona.

* The second-biggest decliner was Bombardier BBDb.TO, down 17.6%, after the plane and train maker lowered its full-year core earnings and free cash flow forecasts.

* On the TSX, 115 issues were higher, while 119 issues declined for a 1.03-to-1 ratio to the downside, with 36.15 million shares traded.

* The most heavily traded shares by volume were Bombardier <BBDb.TO>, Encana Corp <ECA.TO> and Trevali Mining <TV.TO>.

* The TSX posted four new 52-week highs and three new lows.

* Across all Canadian issues, there were 10 new 52-week highs and 13 new lows, with total volume of 52.86 million shares.

(Reporting by Amy Caren Daniel in Bengaluru; Editing by Maju Samuel)

((Amy.CarenDaniel@thomsonreuters.com ; within U.S. +1-646-223-8780; outside U.S. +91 80 6749 9250 ; Reuters Messaging: Amy.CarenDaniel.thomsonreuters.com@reuters.net;))

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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