Stocks Move up After Wednesday Slump
CAE, First Quantum in Focus
Canada's main stock index opened higher on Thursday, as domestic health-care stocks rose, although a fall in energy companies capped gains.
The S&P/TSX Composite reversed direction and gained 113.16 points to kick off Thursday at 21,318.32.
The Canadian dollar was up 0.23 cents to 80.16 cents U.S.
Egypt's petroleum ministry has signed crude oil and petroleum agreements worth $506 million for exploration and production in its eastern desert and western desert regions with TransGlobe Energy Corp and Pharos Energy.
TransGlobe slid four cents, or 1%, to $4.07.
National Bank of Canada raised the target price on CAE to $45.00 from $44.00. CAE shares fell 17 cents to $31.74.
CIBC raised the target price on First Quantum Minerals to $40.00 from $37.00. First Quantum shares sank 23 cents to $35.07.
TD Securities cut the target price on Linamar to $98.00 from $100.00. Linamar shares lost 52 cents to $73.10.
The TSX Venture Exchange hiked 8.65 points, or 1%, to 909.52.
All but three of the 12 TSX subgroups were higher, with information technology rumbling 2%, health-care haler 1.4%, and industrials up 1%.
The three laggards were energy, fading 0.5%, materials, down 0.2%, and communications, dipping 0.1%.
The NASDAQ Composite bounced on Thursday, a day after dipping into correction territory, as investors rotated back into technology names.
The Dow Jones Industrials popped 270.5 points to 35,229.15.
The S&P 500 hiked 43.17 points, or 1%, to 4,575.93.
The NASDAQ recovered 216.63 points, or 1.5%, to 14,556.88. The NASDAQ, which is home to many of the market's biggest tech names, ended Wednesday more than 10% below a record set in November, indicating a technical correction.
For the week, the Dow is down about 2%. The S&P 500 has lost 2% since the close last Friday. The NASDAQ is the biggest loser, down 2.4% this week.
Technology stocks led markets higher on Thursday. Zoom Video added nearly 3%, Microsoft rose 1.8%, Meta Platforms popped nearly 2%, and Tesla was up more than 1%. Streaming giant Netflix rose 1.7% ahead of its quarterly report after the bell on Thursday.
Dow component Travelers posted beats on the top and bottom lines while American Airlines also beat estimates but lowered guidance. Travelers rose 3%.
United Airlines shares fell about 1% after the company reported its quarterly results and warned that omicron has dented bookings and will delay its pandemic recovery.
Ford Motor shares dropped 3% on Thursday. The stock is coming off a meteoric surge in 2021 on hopes for its electric vehicle development, but Jefferies analysts said in a downgrade that the rally, which sent shares up 130% for the year, has gotten overdone.
Unemployment data on Thursday signaled the surge in omicron could be hurting the recovery.
Jobless claims for the week ended Jan. 15 totaled 286,000 for the week, their highest level since October. The read was well above the Dow Jones estimate of 225,000 and a substantial gain from the previous week's 231,000.
Prices for 10-year Treasurys gained strength, lowering yields to 1.83% from Wednesday's 1.86%. Treasury prices and yields move in opposite directions.
Oil prices eked higher three cents to $86.99 U.S. a barrel.
Gold prices advanced $2.50 to $1,845.70 U.S. an ounce.
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