Toronto markets were buoyed by strong financials Wednesday, as Royal Bank’s writedown announcement for the second quarter wasn’t as bad as expected.
But the S&P/TSX Composite index dipped in late-day trading and closed up just 9.61 points, or 0.07%, at 14,626.31. Five of the ten major TSX groups gained today.
The financials group remained solid all day and closed up 0.99%.
Royal Bank shares gained $1.23, or 2.53%, to end at $49.85, after it announced it will take a $855 million pre-tax writedown in Q2. After tax, the hit will be worth $420 million.
ING Canada Inc. shares closed down $1.30, or 3.14%, at $40.11, after it reported Q1 net income fell to $23 million, compared with $126.2 million in the same period last year.
Meanwhile, the materials group gained 0.87%. Shares in market heavyweight Potash Corp. gained $1.23, or 0.62%, to end the session at $199.22.
The gold sub-index fell 1.75%, as gold for June delivery fell US$3.10 to close at US$866.50 an ounce on the New York Mercantile Exchange.
Barrick Gold Corp. shares fell 81¢, or 2.09%, to close at $37.96 and Goldcorp Inc. stock closed down 80¢, or 2.04%, at $38.48.
The heavyweight energy group closed flat, up just 0.06%, as crude oil for June delivery closed down US$1.58, at $124.22 a barrel on the Nymex.
Petro Canada Co. stock gained 36¢, or 0.64%, to close at $56.26, while Suncor Energy Inc. shares fell 40¢, or 0.63%, to end at $63.37.
The Canadian dollar closed at US99.57¢, down 0.15 of a cent from yesterday’s close.
In U.S. economic news, the U.S. Labour Department reported that consumer prices moved up 0.2% in April, compared to a 0.3% increase in March.
In earnings news south of the border, mortgage finance firm Freddie Mac announced a Q1 loss of US$151 million.
The junior S&P/TSX Venture composite index closed up 11.73 points, or 0.46%, at 2567.68.
In New York, markets rallied as consumer price data cooled inflation anxiety among investors.
The Dow Jones Industrial Average closed up 66.20 points, or 0.52%, at 12,898.38.
The S&P 500 closed up 5.62 points, or 0.40%, to close at 1,408.66.
The tech-heavy Nasdaq closed up 1.58 points, or 0.06%, at 2,496.70.