TSX Ends Flat Again

(RTTNews) - After a weak start and a subsequent long spell in negative territory due to disappointing jobs data, the Canadian stock market staged a recovery on Thursday but faltered again due to lack of support and eventually ended flat.

According to the ADP report, Canada lost 23,000 jobs in October, due to a decline in hiring in several sectors, including utilities, natural resources and mining industries.

A report from the Canadian Real Estate Association said home sales were down by 1.6% in October. The report said further that activity was stronger compared to the first half of 2018, but it remained below monthly levels recorded from early 2014 through 2017.

Concerns about outlook for global economic growth and the resignation of Brexit Secretary Dominic Raab that has dealt a blow to British Prime Minister Theresa May's Brexit plans rendered price movements sluggish in the Canadian market. However, optimism about a trade deal between the U.S. and China after reports indicated the two countries have intensified efforts to reach an agreement at the G20 summit later this month, aided sentiment and prevented a slide.

A rebound in the healthcare space and some strong buying in materials and information technology sections contributed to market's slightly positive close. Consumer discretionary and consumer staples stocks were weak, while bank, energy and industrials stocks turned in a mixed performance.

The benchmark S&P/TSX Composite Index ended up 11.76 points, or 0.08%, at 15,144.88, after scaling a low of 15,068.21 and a high of 15,177.56 in the session. On Wednesday, the index ended up 1.34 points, or 0.01%, at 15,133.12.

The Capped Information Technology Index climbed up 1.13%. Shopify Inc. (SHOP.TO) gained 4.7% and Kinaxis Inc. (KXS.TO) surged up 3.75%.

In the healthcare space, Aurora Cannabis Inc. (ACB.TO) soared 7.3%, Canopy Growth Corporation (WEED.TO) advanced by nearly 3%, Aphria Inc. (APHA.TO) jumped 7.2%, Hexo Corp. (HEXO.TO) ended 7.7% up and Knight Therapeutics Inc. (GUD.TO) added 1.1%.

Among materials stocks, First Quantum Minerals (FM.TO) jumped nearly 8%, Barrick Gold Corporation (ABX.TO) gained about 1.5%, Franco-Nevada Corporation (FNV.TO) added 1.1% and Teck Resources (TECK.B.TO) surged up 3.7%. Tahoe Resources Inc. (THO.TO) gained 3.7% and Lundin Mining (LUN.TO) climbed up 4%.

In the energy section, BayTex Energy Corp. (BTE.TO) jumped more than 6%, Cenovus Energy Inc. (CVE.TO) gained 1.5%, Imperial Oil (IMO.TO) advanced by 1.2%, Crescent Point Energy (CPG.TO) added 1.2% and Vermilion Energy Inc. (VET.TO) ended more than 2% up, while Canadian Natural Resources (CNQ.TO) declined by 1.7% and Tourmaline Oil Corp. (TOU.TO) ended 2.2% down.

In the banking space, Royal Bank of Canada (RY.TO), Bank of Montreal (BMO.TO) and Canadian Imperial Bank Of Commerce (CM.TO) posted modest gains.

CannTrust Holdings Inc. (TRST.TO) reported record revenues for the third quarter, but a sharp 36% drop in net income. The company said it earned $421,240 or zero cents per share, compared with $655,309 or one cent per share a year earlier. CannTrust shares gained more than 30%.

Canfor Corporation (CFP.TO) announces that it has entered into an agreement to purchase 70% of the VIDA Group of Sweden for a purchase price of 3,990 million Swedish Krona (approximately CAD$580 million) on a cash and debt free basis, which includes CAD$125 million (70%) of normalized working capital. The stock plunged 7.8% in the session.

Centric Health Corporation (CHH.TO) shares declined by 9.6% after the company reported net loss of $0.87 million for the third quarter, as against net profit of $0.25 million in the year ago quarter.

Tervita Corporation (TEV.TO) ended nearly 8% up after the company announced that its third quarter operations delivered strong performance with Adjusted EBITDA increasing 69% year over year to $71 million, with an Adjusted EBITDA margin of 35%.

Asian stocks ended mixed on Thursday, tracking overnight losses on Wall Street and lower crude oil prices. Chinese closed sharply higher on hopes for possible government action to boost growth.

European markets ended lower, weighed by some high profile U.K. government resignations. U.K. Brexit Secretary Dominic Raab and Junior Brexit minister Suella Braverman quit from the government, protesting against Prime Minister Theresa May's Brexit plans.

Raab announced that his resignation was due to disagreement over "the regulatory regime proposed for Northern Ireland" that poses "a very real threat to the integrity of the United Kingdom." Earliler, Work and Pensions minister Esther McVey and Northern Ireland minister Shailesh Vara had resigned over the plans.

The U.S. market ended higher amid optimism about trade after a report from the Financial Times said the U.S. and China have intensified efforts to reach a trade agreement at the G20 summit later this month.

In U.S. economic news, data from the Commerce Department said retail sales in the U.S. increased by 0.8% in October following a revised 0.1% dip in September. Economists had expected retail sales to climb by 0.5% compared to the 0.1% uptick originally reported for the previous month.

Excluding a jump in auto sales, retail sales still rose by 0.7% in October after edging down by 0.1% in September. Ex-auto sales had been expected to increase by 0.5%.

A separate report from the Labor Department showed initial jobless claims inched up to 216,000 in the week ended November 10th, an increase of 2,000 from the previous week's unrevised level of 214,000. Economists had expected jobless claims to edge down to 212,000.

The Labor Department also released a report showing import and export prices both rose by more than expected in the month of October. While import prices were up 0.5% in the month, after rising by a downwardly revised 0.2% in September, export prices increased by 0.4% in October, after coming in unchanged a month earlier. Economists had expected both import and export prices to tick up by 0.1%.

In commodities, Crude oil prices ended higher on Tuesday, extending gains for a second successive session, despite official data from the Energy Information Administration showing a bigger than expected increase in U.S. crude oil inventories in the week to November 9.

Crude oil futures for December ended up $0.21, or 0.4%, at $56.46 a barrel.

Gold futures for December ended up $4.90, or 0.4%, at $1,215.00 an ounce.

Silver futures for December closed up by $0.183, at $14.263 an ounce, while Copper futures for December ended up $0.0365, at $2.7465 per pound.