Stocks in Canada’s financial capital were flat Thursday, as National Bank of Canada tumbled to lead financial stocks lower after giving an early warning of rising credit losses tied to energy.
The S&P/TSX Composite Index eked up 0.01 points to close Thursday at 13,632.01
The Canadian dollar was positive 0.04 cents to 77.73 cents U.S.
Among major energy plays, Suncor Energy Inc. retreated $1.02, or 3%, to $33.16.
National Bank of Canada dropped 33 cents, or 0.8%, sliding to a month low of $42.20, after the lender said it will set aside $195 million to cover soured oil-and-gas loans in the second quarter, joining Canadian Western Bank in providing early warning of rising credit losses tied to energy after the rout in crude prices.
Experts note that National has lost almost 7% during a six-day slide, its longest since December. The lender is set to report results June 1.
Manulife, the nation’s largest life insurer, added 19 cents, or 1.1%, to $18.26, as first-quarter profit surged 45% after benefiting from interest rate movements and record insurance sales in Asia. Adjusted earnings of 44 cents a share came in ahead of the 43-cent average of analysts surveyed by Bloomberg.
Yamana Gold Inc. picked up 39 cents, or 7.3%, to $5.77, and Barrick Gold Corp. added 52 cents, or 2.3%, to $23.00, as raw-materials producers climbed.
On the economic slate, Statistics Canada reported that the total value of building permits issued by Canadian municipalities was down 7.0% to $6.9 billion in March, marking the second decline in three months.
The agency said the dip, which followed a 15.3% gain in February, was largely the result of lower construction intentions for commercial buildings in Alberta, Ontario and B.C.
ON BAYSTREET
The TSX Venture Exchange picked up 3.77 points Thursday to 657.14
Seven of the 13 TSX subgroups were lower, as health-care faltered 2.4%, metals and mining turfed 1.6%, and financials lost 0.3%.
The half-dozen gainers were led by gold, climbing 2.8%, materials, ahead 1%, and real-estate, up 0.6%.
ON WALLSTREET
Equities in markets south of the border closed narrowly mixed Thursday as oil failed to hold much of its intraday gains and investors awaited the key employment report due Friday.
The Dow Jones Industrials stayed above water 9.45 points to 17,660.71, with IBM leading advancers and Merck the greatest laggard.
The S&P 500 settled 1.91 points to 2,049.21, with energy leading six sectors higher and telecoms the biggest decliner.
The NASDAQ Composite Index slipped 8.55 points to 4,717.09, as declines in shares of Apple and Amazon.com weighed.
In economic news, weekly jobless claims rose to 274,000. Earlier, Challenger, Gray & Christmas reported layoffs by U.S.-based companies accelerated in April, sending year-to-date job cuts to the highest level since 2009.
Prices for the 10-year Treasury regained strength, lowering yields to 1.74% from Wednesday’s 1.77%. Treasury prices and yields move in opposite directions
Oil prices gained 59 cents a barrel to $44.37 U.S.
Gold prices slid $3.09 to $1,276.59 U.S. an ounce.
