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Published: Sat, May 06, 2017
Business | By Patricia Jimenez

Toronto stock index recovers from Thursday's decline, loonie stronger

Toronto stock index recovers from Thursday's decline, loonie stronger

Canada's mining and energy industries pulled the country's main stock index into a steep decline this morning.

Shares of No. 3 ranked Bank of Nova Scotia saw shares jumped 2.08 percent to 76.72 Canadian dollars (55.95 US dollars).

Home Capital Group, Canada's biggest non-bank mortgage lender, climbed 4.0 per cent to $6.25 after it announced that Alan Hibbens would replace co-founder Gerald Soloway on its board.

Manulife Financial Corp (Toronto:MFC.TO - News) rose 1.3 percent to C$24.44 after the life insurer beat earnings expectations with strong sales in Asia.

Brent futures were up $1.20, or 2.5 per cent, at $49.58 a barrel, while U.S. West Texas Intermediate crude was up $1.09, or 2.4 per cent, at $46.61 per barrel.

The S&P/TSX composite index fell 77.53 points to 15,542.12, after 90 minutes of trading.

Of the index's 10 main groups, healthcare was the lone decliner, sliding by just under 0.5 per cent.

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On the economic front, Statistics Canada reported that the country's unemployment rate in April fell 0.2 percent to 6.5 percent, the lowest since October 2008.

The Montreal-based airline says a 16 per cent increase in operating costs due to higher fuel prices and other items has resulted in a $37-million loss for the first quarter.

Advancing issues outnumbered declining ones on the TSX by 195 to 50, for a 3.90-to-1 ratio on the upside.

In New York, the Dow Jones industrial average rose 55.47 points to 21,006.94, the Nasdaq composite index moved up 25.42 points to 6,100.76, and the S&P 500 index gained 9.77 points to a record-high 2,399.29.

Meanwhile, oil was in the red, and Action Economics said the sharp selloff was attributed to heavy liquidation of long positions, driven by technical factors and concerns that USA shale production.

The Canadian dollar was trading at 72.98 cents USA, stronger than Tuesday.

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