TSX Extends Recent Gains, Ends Modestly Higher

(RTTNews) - The Canadian stock market ended higher on Thursday, led by gains in energy, industrials and consumer staples sectors. The mood was fairly bullish thanks to a fairly positive outcome of the trade talks between U.S. President Donald Trump and European Commission President Jean-Claude Juncker on Wednesday.

The benchmark benchmark S&P/TSX ended up 34.97 points or 0.21% at 16,455.73, after scaling low of 16,364.25 and a high of 16,480.57 intraday. On Wednesday, the index ended up 30.63 points or 0.19% at 16,420.76, nearly 70 points off the day's low of 16,350.96.

The capped energy index ended 0.82% up. Suncor Energy Inc. (SU.TO) gained 2.3%, after reporting second quarter 2018 operating earnings of $1.190 billion, compared to $199 million in the prior year quarter.

Imperial Oil (IMO.TO) ended up 1.7%, Husky Energy Inc. (HSE.TO) added 1.4%, Tourmaline Oil Corp. (TOU.TO) advanced by nearly 2.5% and ARC Resources (ARX.TO) climbed 2.2%.

Crescent Point Energy Corp. (CPG.TO) declined by about 4.5%. The company announced that funds flow from operations totaled $500.3 million, or $0.91 per share diluted, based on an operating netback of $40.74 per boe in the second quarter. Funds flow from operations was partially impacted by $13.5 million of incremental severance costs, the company said.

The capped industrials index moved up 0.78%. Among the stocks in the industrials space, Canadian National Railway (CNR.TO), Canadian Pacific Railway (CP.TO), Bombardier Inc. (BBD.B.TO) and CAE (CAE.TO) gained 0.6% - 2%.

Ritchie Bros. Auctioneers (RBA.TO) climbed up 2.6% and Finning International (FTT.TO) moved up 3.5%, while Air Canada (AC.TO) gained 4.8%.

The consumer staples index gained 0.79%. Loblaw Companies (L.TO), Metro Inc. (MRU.TO) and George Weston (WN.TO) gained 1 to 2%.

Maple Leaf Foods Inc. (MFI.TO) shares declined by 2.8%. The company reported adjusted EBITDA Margin of 10.1% for the quarter ended June 2018. Sales were up 1.1% in the quarter, after adjusting for IFRS changes, foreign exchange and acquisitions, the company said in its filing to the stock exchange.

Shares of New Gold Inc. (NGD.TO) plunged more than 20% after the company reported a loss from continuing operations of $302 million, or $0.52 per share, including an impairment loss, net of tax of $282 million, or $0.49 per share.

Goldcorp Inc. (G.TO) ended nearly 6% down after the company reported second-quarter net loss of $131 million, or $0.15 per share, compared to net income of $135 million or $0.16 per share in the prior year. The latest-quarter was impacted by non-cash foreign exchange losses of $178 million, or $0.20 per share, primarily arising on deferred tax balances.

Cascades Inc. (CAS.TO) rose 4.2% after the company announced that it has acquired the White Birch, Bear Island manufacturing facility in Virginia, for a cash consideration of US$34.2 million.

Ag Growth International Inc. (AFN.TO) gained 3.5% after announcing that it has acquired the Sabe Group Companies, a food processing company based in Chauché, France.

In commodities, crude oil futures for September were up $0.23 or 0.33% at $69.53 a barrel.

Natural gas for September was up marginally at $2.757 per million btu.

Gold futures for August were down $6.10 or 0.5% at $1,225.70 an ounce.

Silver futures for September were down $0.134 or 0.86% at $15.455 an ounce and Copper futures declined 0.3% to $2.807 per pound.

On the economic front, data from U.S. Labor Department showed first-time claims for unemployment benefits in the U.S. to have increased modestly by 9,000 to 217,000 in the week ended July 21, from previous week's revised level of 208,000. Economists had expected jobless claims to rise to 215,000 from the 207,000 originally reported for the previous week.

A report released by the Commerce Department said durable goods orders in U.S. jumped by 1.0% in June after falling by a revised 0.3% in May. Economists had expected durable goods orders to spike by 3.0%.

In economic news from Europe, the European Central Bank left its interest rates unchanged and maintained the forward guidance on monetary stimulus, following the Governing Council's June decision to halve the monthly asset purchases after September, and to eventually end them in December.

European Central Bank President Mario Draghi said the euro area economic recovery is proceeding along its solid and broad-based path despite prominent uncertainties linked to the global trade.

Germany's consumer confidence is set to weaken slightly in August, survey data from market research group GfK showed Thursday. The forward-looking consumer sentiment index fell to 10.6 in August from 10.7 in July. The score was forecast to remain unchanged at 10.7.

Meanwhile, French consumer confidence remained stable in July, survey data from the statistical office Insee showed Thursday. The consumer sentiment index held steady at 97 in July. The indicator remained below its long-term average of 100 for the third consecutive month.

European stocks edged higher, with automobile stocks reacting positively to Donald Trump's willingness to back off his threat to levy tariffs on cars imported to the U.S