Baystreet.ca – Roller Coaster Stock Readings Continue
Futures for the main Canadian stock index rose on Thursday, buoyed by higher crude prices as investors adjusted their positions ahead of a major producers’ meeting, although gains were limited by concerns over the Omicron coronavirus variant threatening the global recovery.
The S & P / TSX Composite Index lost 195.39 points, or nearly 1%, to close Wednesday’s session at 20,464.60.
Futures were up 0.7% on Thursday
The Canadian dollar lost 0.34 cent to 78.03 US cents on Thursday.
The Canadian Imperial Bank of Commerce posted higher quarterly profits on Thursday as the lender collected higher fees from the wealth management and US and Canadian banking branches.
Canada Goose Holdings has been the subject of controversy in China over a dispute over its return policies, with a city consumer watchdog calling it meetings and other groups accusing it of ‘Intimidate’ customers.
CIBC raised AutoCanada’s rating to outperform neutral.
JP Morgan raised Emera Inc.’s target price to $ 61.00 from $ 59.00
RBC Increases National Bank of Canada’s Target Price to $ 111.00 From $ 99.00
The TSX Venture Exchange dabbled 14.82 points, or 1.6%, on Tuesday at 939.44.
Dow futures rose early in trading Thursday despite the latest COVID variant arriving on U.S. shores and as the White House tightened travel restrictions.
Futures contracts for the Dow Jones Industrials recovered 253 points, or 0.7%, to 34,255.
Futures for the S&P 500 climbed 20.75 points, or 0.5%, to 4,529.25.
NASDAQ futures were up 11.5 points, or 0.1%, to 15,881.25.
The Biden administration has responded to news that a case of omicron has been reported in California asking companies to proceed with vaccination requirements, even though the administration’s mandate has been suspended by the courts pending the exam. The White House has also tightened travel rules, requiring incoming passengers to be tested within 24 hours before departure.
Airlines, casino and energy stocks dominated the winners in pre-market trading on Thursday, rebounding from Wednesday’s sell-off.
Shares of Boeing, component Dow, jumped 3.6% after China allowed the 737 Max to resume flight. Royal Caribbean cruise line rose 3.6% while MGM Resorts International rose 2.7%.
Investors continue to monitor developments on the new omicron COVID-19 variant, with uncertainty over its rate of transmissibility and fears that it may escape vaccines. Market participants are also concerned that the Federal Reserve may be easing its asset purchase program at a faster pace than expected.
Nonetheless, Bank of America noted that December has historically been the strongest month for the S&P 500, with the average gaining 2.3% on average since 1936 and positive 79% of the time. However, December was not always immune to massive sales,
On the data front, weekly initial jobless claims numbers will be released at 8:30 a.m. ET on Thursday. Economists expect a drawdown of 240,000, according to Dow Jones estimates. The previous reading showed 199,000 filers for the first time, which was the lowest since November 1969. The November jobs report will be released on Friday.
Thursday’s reading follows a better-than-expected ADP report on Wednesday. The private wage bill increased by 534,000 in November, ahead of the expected 506,000.
Overseas, Japanese markets fell 0.7% on Thursday, while Hong Kong’s Hang Seng gained 0.6%.
Oil prices jumped 21 cents to US $ 65.78 per barrel.
The price of gold fell $ 3.30 to US $ 1,781 per ounce.