TSX Recovers Amid Mixed U.S. Data -- Canadian Commentary

(RTTNews) - Canadian stocks are swinging between gains and losses on Thursday, with investors reacting to a mixed batch of U.S. economic data.

The benchmark S&P/TSX Composite Index is up 13.50 points or 0.10 percent at 14,197.60, coming off from a low of 14,158.25.

On Wednesday, the benchmark ended down 115.39 points or 0.81 percent at 14,184.10, after scaling a high of 14,345.40 in early trades.

Healthcare and industrial stocks are weak, while energy stocks are steady, tracking higher crude prices.

Among big six banks, Royal Bank of Canada (RY.TO), Toronto Dominion Bank (TD.TO), Bank of Nova Scotia (BNS.TO) and National Bank of Canada (NA.TO) are down 0.3 to 0.6 percent.

The Bank of Montreal (BMO.TO) is down slightly. The bank has lowered its five-year fixed-rate mortgage from 3.49 percent to 2.99 percent.

Healthcare stock Valeant Pharmaceuticals International (VRX.TO) is down 1.6 percent. Industrial stock Ballard Power Systems (BLD.TO) is up more than 6.5 percent, bouncing back after Wednesday's setback.

In the energy sector, Dejour Energy (DEJ.TO), Suncor Energy (SU.TO), NuVista Energy (NVA.TO) and Canadian Natural Resources (CNQ.TO) are up 1 to 2 percent.

Enbridge Inc. (ENB.TO), Cenovus Energy (CVE.TO), Encana Corporation (ECA.TO) and Husky Energy (HSE.TO) are trading modestly higher

Mining stocks Teck Resources (TCK.B.TO) and Capstone Mining Corporation (CS.TO) are up 1.7 percent and 2 percent, respectively.

Taseko Mines Ltd (TKO.TO) is up nearly 1 percent. The company announced on Wednesday that it applied for a second judicial review, seeking the judge to set aside the Canadian environment minister's decision to reject the company's New Prosperity Gold-Copper Mine Project.

Eldorado Gold Corporation (ELD.TO), Barrick Gold Corporation (ABX.TO), Goldcorp Inc (G.TO) and Silver Wheaton Corp. (SLW.TO) are up 1.2 to 1.8 percent.

BlackBerry (BB.TO) is down 3.3 percent following a rating downgrade by Societe Generale SA.

Sunshine Oilsands Ltd. (SUO.TO) reported fourth quarter net loss and comprehensive loss attributable to equity holders of C$7.5 million, compared to a loss of C$9.2 million in the previous year. The stock is virtually unchanged from its last closing price.

Maple Leaf Foods Inc. (MFI.TO) announced changes to its organizational structure and leadership that will be effective upon completing the sale of its 90% ownership in Canada Bread Company Inc. to Grupo Bimbo, S.A.V. de C.V., which is expected to occur in the second quarter. The stock is down marginally.

Meanwhile, Canadian International Oil Corp. or CIOC announced an equity commitment of C$200 million from energy private equity firm Riverstone Holdings LLC. The Riverstone commitment comprises C$133 million from Riverstone Global Energy and Power Fund V and C$67 million from Riverstone Energy Limited or "REL".

The company said it will use the investment to fund its development program in the Western Canadian Deep Basin.

Gold futures for June delivery are down $6.80 or 0.54 percent at $1,296.40 an ounce, off the day's low of $1,292.10, the lowest level since February 13.

Silver for May delivery is down $0.102 or 0.52 percent at $19.678 an ounce, coming off a high of $19.860, while copper is up $0.028 or 0.95 percent at $2.994 per pound, moving in a narrow range.

Meanwhile, Crude oil futures for May are up $1.25 or 1.25 percent at $101.51 a barrel, after rising to $101.60 on U.S. GDP and jobless claims data.

Natural Gas is up $0.074 or 1.70 percent at $4.470 per million btu.

In the currency market, the Canadian loonie is trading at 1.1064 against the greenback, up 0.33 percent from its previous close.

In economic news, the U.S. Commerce Department's report showed the economy grew by 2.6 percent in the fourth quarter, slightly better than the government's preliminary reading.

Initial jobless claims in the U.S. saw an unexpected decline of 10,000 to 311,000 from the previous week's revised figure. Economists were expecting jobless claims to edge up to 323,000 from the 320,000 originally reported for the previous week.

Meanwhile, pending home sales in the U.S. decreased for the eighth consecutive month in February. The report released by the National Association of Realtors said its pending home sales index dropped by 0.8 percent to 93.9 in February, its lowest level since hitting 92.2 in October 2011. In January the index edged down 0.2 percent to a downwardly revised 94.7.

Asian markets ended mixed amid concerns about slowing growth in China and on worries about developments in Ukraine after the United States and the European Union agreed to work together in preparing possible tougher sanctions to isolate Russia for its intervention in Crimea.

Major European markets too turned in a mixed performance as worries about Ukraine offset some encouraging economic data from the U.K. and France.