Bay Street stocks are basically flat in Thursday afternoon trading after giving back an early rally. Stocked retreated on the announcement Chrysler will file for bankruptcy.
The S&P/TSX Composite Index is up 4.41 points or 0.4% to 9,420.76. Earlier, Toronto's main index touched its highest intraday level since early November.
Mining stocks are up 2.8% as Teck Cominco (TCK-B.TO) has gained 4.7%. The diversified miner said it signed a deal to sell its 40% interest in the Pogo mine in Alaska to Japanese gold producer Sumitomo Metal Mining for about US$245 million.
Inmet Mining Corp. (IMN.TO) has added 1.7% after Credit Suisse upgraded the shares to Neutral from Underperform and increased its price target to C$37 from C$30.
Industrials are up 1.7%. Canadian Pacific (CP.TO) is up 1% after IBM (IBM) said it has signed a five-year renewal with the railway.
On the flipside, gold stocks have lost 3.1% as the precious metal moved sharply lower on the Comex. Iamgold (IMG.TO) and Eldorado (ELD.TO) have each lost 4% and New Gold (NGD.TO) has dropped 3.9%.
Agnico-Eagle Mines (AEM.TO) has plummeted 7.2% after announcing first-quarter revenues decreased to US$110.718 million from US$123.655 million last year. The gold producer reported that its first-quarter net earnings increased to US$54.341 million or US$0.35 per share from US$28.908 million or US$0.20 per share last year. On average, 12 analysts polled by Thomson Reuters expected the company to report earnings of US$0.09 per share for the quarter.
In other corporate news, Brick Brewing (BRB.TO) has added 3.4% after the company reported fourth-quarter net loss and comprehensive loss of C$6.7 million or C$0.24 per share, compared to net loss and comprehensive loss of C$1.12 million or C$0.05 per share last year.
JDS Uniphase Corp. (JDU.TO) has plunged 14.5% after reporting adjusted net loss for the third quarter was $6.9 million or $0.03 per share, compared to net income of $31.2 million or $0.14 per share in the prior year quarter.
Fortis (FTS.TO) fell 2.25% after the insurer reported net earnings of C$92 million or C$0.52 per share, compared to C$91 million or C$0.55 per share last year.
Canadian Oil Sands (COS.UN.TO) is up 0.3%. The oil-sands producer announced net earnings of C$43 million or $0.09 per unit to C$298 million or $0.62 per unit a year ago.
In the big global economic news of the day, embattled automaker Chrysler LLC will file for bankruptcy, President Barack Obama announced Thursday. Chrysler and Italian carmaker Fiat have formed a partnership, Obama said, which he believes has a strong chance of success.
The Globe and Mail reported today the Canadian government will backstop the company with financing that will enable it to keep making and selling cars while it restructures.
On the economic front, Canada's real gross domestic product edged down 0.1% in February. Economic activity has declined by 2.4% since October 2008. February's result was in line with analyst estimates.
In a separate report, Statistics Canada revealed that the Canadian industrial prices rose for a second straight month in March. The Industrial Product Price Index rose 0.3% in March following a 0.5% increase in February. The Raw Materials Price Index advanced 12.1% compared with February, pushed up by a strong increase in crude oil prices.
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