The Canadian stock market traded on a bearish note for the third consecutive session, as investors continued to closely monitor corporate earnings, volatile commodity markets, and macroeconomic developments. The S&P/TSX Composite Index fell 97 points, or 0.5%, yesterday to 20,121, its lowest closing level in three weeks.
Although a handsome intraday recovery in oil prices drove energy stocks higher, most other main TSX sectors witnessed heavy losses, including utilities, technology, consumer non-cyclicals, and financials.
Top TSX Composite movers and active stocks
Shares of Bombardier (TSX: BBD.B) dived by 8.5%, despite its significantly stronger-than-expected second-quarter earnings. In the three months ended in June 2023, the Dorval-headquartered business jet maker’s total revenue increased by 7.6% from a year ago to US$1.68 billion, with a strong 19% jump in its aftermarket revenue.
Stronger revenue helped Bombardier post US$0.72 per share in adjusted quarterly earnings, crushing analysts’ expectations of US$0.28 per share. However, the company reported US$222 million in negative free cash flow, which could be the main factor for hurting investors’ sentiments. After this selloff, Bombardier stock is now down 18.2% year to date at $61.79 per share.
Parex Resources, IGM Financial, and Shopify were also among the bottom performers on the Toronto Stock Exchange, as they fell more than 5% each.
On the positive side, SNC-Lavalin, Lightspeed Commerce, Ballard Power, and Spin Master were among the top-performing TSX stocks, as they inched up by at least 7.5% each.
Based on their daily trade volume, Suncor Energy, Enbridge, Athabasca Oil, and Cenovus Energy were the most active stocks on the exchange.
TSX today
Commodity prices were largely mixed early Friday morning, pointing to a flat open for the main TSX index today. Besides the domestic monthly purchasing managers index, unemployment rate, and employment change reports, Canadian investors may also want to keep a close eye on the latest key labour market data from the United States this morning.
These economic releases and corporate earnings could keep TSX stocks volatile today, as investors remain cautious ahead of the long Civic Holiday weekend.
TSX-listed companies Enbridge, Telus Corp, Telus International, TransAlta, Brookfield Renewable Partners, Brookfield Business Partners, and Magna International are likely to announce their latest quarterly results on August 4.
Market movers on the TSX today
