Gains in Store for TSX Thursday

Bombardier, Thomson Reuters in Focus

Equities in Canada’s largest market were set to open higher on Thursday, supported by a slew of robust earnings reports and firm oil and gold prices.

The TSX was 40.61 points to the good to close Wednesday at 19,545.96.

September futures for the TSX were up 0.3% Thursday.

The Canadian dollar inched ahead 0.07 cents to 77.87 cents U.S.

Canadian Natural Resources reported its quarterly profit more than doubled, as crude prices soared on tighter energy supplies due to the Ukraine conflict.

Bombardier posted a smaller second-quarter loss, helped by steady demand and lower interest expenses, while Thomson Reuters reported higher operating profit and raised its full-year revenue forecast.

On the economic slate, Statistics Canada reports this country’s merchandise exports increased 2% in June, mostly on crude oil and gold exports.

Meanwhile, imports rose 1.7%, mainly on energy products. As a result, Canada's merchandise trade surplus with the world widened from $4.8 billion in May to $5 billion in June.

Elsewhere, building permits declined 1.5% in June to $11.9 billion, mainly due to the non-residential sector, which dropped 10.4% to $3.7 billion, after posting its second highest monthly value.

ON BAYSTREET

The TSX Venture Exchange squeezed higher 0.44 points Wednesday to 655.20.

ON WALLSTREET

Stock futures were largely flat Thursday morning as investors wait for new economic data on the labor market that will give further information about a potential U.S. recession.

Futures for the Dow Jones Industrials gained 19 points, or 0.1%, early Thursday to 32,789.

Futures for the S&P 500 added 3.75 points, or 0.1%, to 4,160.

Futures for the NASDAQ Composite gained 18 points, or 0.1%, to 13,289.50.

Investors will get another batch of earnings on Thursday. Virgin Galactic, AMC Entertainment and Beyond Meat are scheduled to report after the bell.

In economic data, investors are looking forward to weekly jobless claims in the morning and the June nonfarm payrolls report due Friday.

Investors got the green light to jump back into beaten up tech names after a surprise rebound in July services PMI and comments from St. Louis Federal Reserve President James Bullard. Bullard said he does not think the U.S. is in a recession, citing job gains and low unemployment.

In Japan, the Nikkei 225 gained 0.7% Thursday. In Hong Kong the Hang Seng zoomed 2.1%

Oil prices moved forward 50 cents to $91.16 U.S. a barrel.

Gold prices took on $27.20 to $1,803.60 U.S. an ounce.