The S&P/TSX Composite Index managed to finish with gains on Friday after spending most of the day in negative territory as investors digested another barrage of corporate earnings and a jobs report that raised concerns about a slowing economy.
The index closed up 43.09 points, or 0.22 percent, to 19,200.13 points.
Shares of Suncor Energy Inc closed 0.68 percent lower at $39.19, despite the release of Second Quarter Results Exceed expectations for operating profit.
The company also said it had reached an agreement to sell assets in Norway in a deal worth $410 million and would look to sell its entire portfolio in the UK.
TC Energy Corp. announced. about strategy Partnership with state-owned facilities in Mexico Comisión Federal de Electricidad (CFE) to build Mexico’s natural gas infrastructure.
In a press release Thursday, the company said one of the joint ventures includes the development and construction of the TGNH Southeast Gateway pipeline for US$4.5 billion.
To help fund the transaction, TC Energy is raising $1.8 billion in a purchase of 28.4 million common shares at $63.50 apiece.
Shares of TC Energy fell 3.17 percent to $63.55 on Friday.
The second month of losing a job
Statistics Canada reported the Canadian economy 30,600 jobs lost In July, marking the second consecutive month of job losses.
The median estimate among economists tracked by Bloomberg was a gain of 15,000 jobs.
These jobs data are “eye-catching not only for the market but for policy makers as well,” said Eric Theoret, global macro strategist at Manulife Investment Management.
Ultimately, the way we look at the economy is that we expect a slowdown in growth. “We expect tighter policy as a result of the high inflation environment, and therefore, this moderation is something we have been expecting,” Theorett said in an interview on Friday.
“Now, you know, when you look at the data hierarchy, the business data is usually lagging and so seeing the weakness in the business data after so short a period of tightening is a bit of a concern, because I don’t think we were expected to see it at this point just yet. “.
The Canadian dollar closed at 77.28 US cents, down 0.58 percent.
Markets in New York were mixed on Friday. The S&P 500 fell 0.16 percent, the Dow Jones Industrial Average closed 0.23 percent lower, and the technology-heavy Nasdaq fell 0.50 percent.
The US Labor Department reported that the US economy added 528,000 jobs last month, more than double economists’ expectations of 250,000 new jobs.
West Texas Intermediate fell 0.19 percent to $88.37 a barrel. Posted item Biggest weekly drop Since April.
Bob Iacchino, co-founder and chief market strategist at Bath Trading Partners, said he believes the price of oil could drop all the way to $68 a barrel.
He cited concerns about an “artificial floor created due to the depletion of the United States Strategic Petroleum Reserve” and the threat of the US hurricane season.
Despite having a short position on oil, Iaccino remains optimistic about major energy producers in Canada and the United States.
“[Energy companies] They have a lot of money right now, they’ve made record profits repeatedly and will be able to weather storms that they couldn’t withstand in 2014 or 2015, so they’re in a much better position,” Iaccino said.
Here is a brief rundown of some of the other earnings-related stories:
- Canopy Growth Corp. turned into a loss in the first quarter as it posted a Non-cash impairment of $1.73 billion, which represents all the value of the business reputation of its operations. On the positive side, Canopy said its revenue from its BioSteel business jumped 169 percent.
- Telus reported net income rose 45 percent in the second quarter, adding a record 247,000 new customers.