Canada’s main stock index rose on Wednesday, driven by gains in energy stocks as oil prices rose on supply tightness, while Nuvei Corp shares slumped after the payments firm’s quarterly profit more than halved.
The TSX came off its highs of the morning, gaining 37.45 points, to move into noon hour EDT at 20,243.43.
The Canadian dollar picked up 0.10 cents to 74.37 cents U.S.
Nuvei slumped $14.91, or 37.2% to $25.21, to the bottom of the index after the firm’s quarterly net income more than halved.
Investors are bracing for a busy week of earnings in Canada, with the results of cannabis company Trulieve Cannabis and financial services firm Manulife Financial due later in the day. Trulieve traded 19 cents, or 3.3%, lower to $5.50, while Manulife lost 15 cents to $25.91.
In the economic docket, Statistics Canada reported the total monthly value of building permits in Canada increased 6.1% in June to $11.6 billion.
ON BAYSTREET
The TSX Venture Exchange sagged 0.82 points to 606.84.
Seven of the 12 TSX subgroups faded into the red by midday, with health-care caving 3%, consumer discretionary stocks sinking 1.1%, and real-estate off 0.7%.
The five gainers were led by energy, rumbling 1.4%, while industrials and communications were each 0.7% to the good.
ON WALLSTREET
Stocks slid Wednesday as Wall Street awaited fresh inflation data coming later in the week.
The Dow Jones Industrials took a header of 235.71 points to pause for lunch Wednesday at 35,078.78.
The much broader index slid 35 points to 4,464.39.
The NASDAQ index subtracted 174.78 points to 13,708.42.
Penn Entertainment surged more than 6% after the casino company said it’s launching an online sportsbook with ESPN, called ESPN Bet, this fall. Roblox tumbled more than 20% after missing Wall Street expectations for its second quarter.
Those moves precede a much-anticipated U.S. inflation report, with July’s reading of the consumer price index slated for release Thursday.
Investors have kept an eye on the index in recent months for potential insights into how the Federal Reserve will move interest rates going forward. Economists polled by Dow Jones expect the inflation gauge rose 3.3% in July.
Entertainment giant Disney and casino operator Wynn Resorts are slated to post quarterly results after the close. More than 90% of S&P 500 stocks have reported earnings as of Wednesday morning, and about four-fifths of those who have posted results have exceeded Wall Street’s expectations.
Prices for the 10-year Treasury gained slightly, lowering yields to 4% from Tuesday’s 4.02%. Treasury prices and yields move in opposite directions.
Oil prices grabbed 89 cents to $83.81 U.S. a barrel.
Gold prices fell $9.60 to $1,950.30 U.S. an ounce.
