The Canadian stock market is trading modestly to the upside Wednesday morning, following Tuesday's small loss. Traders remain in a cautious mood due to lingering tensions between North Korea and the United States. Investors are also looking forward to the release of the minutes from the most recent FOMC meeting later today.
Markets in Europe are rising again Wednesday, adding to the gains of the previous two sessions. A flash estimate from Eurostat showed the euro area economy expanded as initially estimated in the second quarter.
Markets in the United States inched higher at the open Wednesday, but have since remained relatively flat. Investors are shrugging off some weak housing data this morning, but remain cautious ahead of the release of the minutes from the most recent Federal Reserve meeting this afternoon.
The benchmark S&P/TSX Composite Index is up 64.40 points or 0.43 percent at 15,162.24.
On Tuesday, the index closed down 22.07 points or 0.15 percent, at 15,097.84. The index scaled an intraday high of 15,133.32 and a low of 15,070.29.
The Capped Materials Index is up 0.94 percent. Agnico Eagle Mines (AEM.TO) is rising 0.55 percent and Agrium (AGU.TO) is climbing 0.70 percent. Potash Corp. of Saskatchewan (POT.TO) is also gaining 0.81 percent.
The Energy Index is rising 0.24 percent. Crude oil prices are little changed Wednesday morning, despite an industry report showing a massive drop in U.S. crude oil inventories.
The American Petroleum Institute (API) reported a huge draw of 9.2 million barrels in United States crude oil inventories-the biggest draw since September 2016.
The U.S. EIA reported this morning that U.S. crude inventories dropped by 8.9 million barrels last week.
Suncor Energy (SU.TO) is climbing 0.29 percent and Canadian Natural Resources (CNQ.TO) is adding 1.07 percent. Encana (ECA.TO) is rising 0.75 percent and Enbridge (ENB.TO) is up 0.26 percent. Husky Energy (HSE.TO) is gaining 0.55 percent and Crescent Point Energy (CPG.TO) is increasing 3.35 percent. Cenovus Energy (CVE.TO) is advancing 1.33 percent.
The Capped Healthcare Index is higher by 0.55 percent. Valeant Pharmaceuticals International (VRX.TO) is rising 3.32 percent.
The heavyweight Financial Index is increasing 0.43 percent. Royal Bank of Canada (RY.TO) is rising 0.44 percent and Bank of Montreal (BMO.TO) is gaining 0.30 percent. Canadian Imperial Bank of Commerce (CM.TO) is up 0.23 percent and National Bank of Canada (NA.TO) is advancing 0.59 percent. Toronto-Dominion Bank (TD.TO) is higher by 0.41 percent and Bank of Nova Scotia (BNS.TO) is climbing 0.37 percent.
The Capped Information Technology Index is gaining 0.38 percent. BlackBerry (BB.TO) is rising 0.44 percent and Constellation Software (CSU.TO) is increasing 1.00 percent. Descartes Systems Group (DSG.TO) is adding 0.41 percent.
The Gold Index is advancing 0.27 percent. Gold prices are slightly lower Wednesday morning, after pulling back in the previous session.
Kinross Gold (K.TO) is increasing 1.69 percent and Eldorado Gold (ELD.TO) is climbing 0.42 percent. Yamana Gold (YRI.TO) is higher by 0.91 percent and Barrick Gold (ABX.TO) is rising 0.24 percent. B2Gold (BTO.TO) is gaining 0.64 percent.
The Capped Telecommunication Services Index is up 0.21 percent. BCE (BCE.TO) is rising 0.40 percent and Rogers Communications (RCI-B.TO) is higher by 0.64 percent.
The Capped Industrials Index is up 0.13 percent. Canadian National Railway (CNR.TO) is advancing 0.21 percent and Air Canada (AC.TO) is climbing 0.04 percent.
On the economic front, the euro area economy expanded as initially estimated in the second quarter with better contribution from individual economies.
Gross domestic product grew 0.6 percent quarter-on-quarter, slightly faster than the 0.5 percent increase seen in the first three months of the year, the latest flash estimate from Eurostat showed Wednesday.
The UK unemployment rate declined further in the second quarter to the lowest level in 42 years and earnings growth exceeded expectations, but continued to lag behind inflation, squeezing consumers' disposable income.
The ILO unemployment rate fell to 4.4 percent in the second quarter from 4.9 percent a year ago, data from the Office for National Statistics showed Wednesday. This was the lowest since 1975. Economists had forecast a rate of 4.5 percent, the same as seen in the three months to May.
A report issued by the U.S. Department of Commerce said housing starts fell 4.8 percent from the previous month, dropping to an annual rate of 1.155 million units in July. This was down from the revised June estimate of 1.213 million units.
Economists had expected housing starts to edge up to a rate of 1.225 million from the 1.215 million originally reported for the previous month.
The Commerce Department said building permits also fell during the month. The figure dropped by 4.1 percent compared to the previous month, slipping to a rate of 1.223 million units in July. June's figure was revised to a pace of 1.275 million units.
Building permits, an indicator of future housing demand, had been expected to come in at a pace of about 1.25 million units.
In commodities, crude oil futures for September delivery are up 0.16 or 0.34 percent at $47.71 a barrel.
Natural gas for September is down 0.038 or 1.29 percent at $2.897 per million btu.
Gold futures for December are down 1.89 or 0.15 percent at $1,277.80 an ounce.
Silver for September is up 0.131 or 0.78 percent at $16.845 an ounce.
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