TSX Stays Above Water

H20, Tidewater in Focus

Equities in Toronto continued to make progress as morning became afternoon on Wednesday,

The TSX Composite regained 55.95 points, to pause for lunch Wednesday at 20,609.20

The Canadian dollar recouped 0.28 cents to 79.08 cents U.S.

Canadian National Railway has informed Kansas City Southern it was unlikely to make a new offer ahead of a Friday deadline to beat Canadian Pacific Railway‘s offer.

By noon, shares in CNR popped $5.52, or 3.6%, to $150.95, while those for CP raced ahead 78 cents to $87.26. In New York, Kansas City Southern shares added $2.03 to $282.03.

Eight Capital initiated coverage on Field Trip Health with a buy rating and $10.20 price target. Field Trip lost 30 cents, or 4.9%, to $5.81.

National Bank of Canada initiated coverage on H2O Innovation with an outperform rating and a price target of $3.25. H2O added six cents, or 2.4%, to $2.52.

ATB Capital Markets initiated coverage on Tidewater Renewables with an outperform rating, and a $22.00 price target. Tidewater shares gained 19 cents, or 1.3%, to $14.90.

On the economic chart, Statistics Canada said the Consumer Price Index rose 4.1% on a year-over-year basis in August, up from a 3.7% gain in July.

On a seasonally adjusted monthly basis, the CPI rose 0.4% in August.

Moreover, the Canadian Real Estate Association reported MLS home sales edged back 0.5% on a month-over-month basis in August.

ON BAYSTREET
The TSX Venture Exchange added 4.91 points to 902.31.

Seven of the 12 TSX subgroups were lower, with communications sliding 1%, consumer staples down0.9%, and information technology off 0.7%.

The five gainers were led by energy, gushing 3.8%, industrials ahead 1%, and materials, jumping 0.5%.

ON WALLSTREET

The Dow Jones Industrial Average attempted to rebound Wednesday after a string of negative trading sessions this September.

The blue-chip index regained 91.38 points to 34,668.95.

The S&P 500 recovered 10.86 points to 4,453.85.

The NASDAQ Composite eked higher 0.34 points to 15,038.10.

For September, the Dow is down nearly 2% and the S&P 500 is off more than 1%. The S&P 500 is on track to see its worth monthly performance since October 2020.

Microsoft shares gained roughly 1% after announcing a dividend increase and a sizable $60-billion share repurchase program.

Energy stocks, which have been popular bets among investors banking on a big economic recovery, gained as WTI crude rose. Exxon added more than 3%.

Casino stocks like Las Vegas Sands and Wynn Resorts traded in the red again on Wednesday. Those names took a big hit Tuesday as the government of Macau looks to increase regulatory scrutiny over casino

Prices for 10-Year Treasurys fell, raising yields to 1.32% from Tuesday’s 1.28%. Treasury prices and yields move in opposite directions.

Oil prices revived $2.05 to $72.51 U.S. a barrel.

Gold prices slipped $12.50 to $1,794.60 U.S. an ounce.