Canadian Stocks Climb Higher On Upbeat Earnings

(RTTNews) - The Canadian market is up firmly in positive territory Thursday morning amid slightly easing concerns about the outlook for interest rates after data showed a slowdown in U.S. economic growth in the first quarter and an increase in jobless claims last week.

Upbeat second-quarter results from Royal Bank of Canada (RY.TO) has triggered strong buying in the banking sector, contributing to market's rise.

The benchmark S&P/TSX Composite Index was up 177.81 points or 0.81% at 22,075.79 about a few minutes ago.

Royal Bank of Canada (RY.TO) is up nearly 5%. The bank reported net income of $4.0 billion for the quarter ended April 30, 2024 , up $270 million or 7% from the prior year.

Canadian Imperial Bank of Commerce (CM.TO) is up 5% after reporting adjusted net income of $1,718 million for the second quarter, compared to $1,628 million a year ago.

EQB Inc (EQB.TO) is soaring nearly 8.5%. The company announced after trading hours on Wednesday that its second-quarter adjusted net income came in at $111 million, up 2% quarter on quarter, and up 8% on the year.

Canopy Growth Corporation (WEED.TO) is gaining nearly 4%. The company reported fourth-quater net loss of C$92.3 million, or C$1.03 a share, compared to net loss of C$640.1 million, or C$12.83 a share, in the year-ago quarter.

Utilities stocks Innergex Renewable Energy (INE.TO) is climbing 6.5%. Boralex (BLX.TO) is up 4.75%, while Brookfield Renewable Partners (BEP.UN.TO) and Brookfiled Infra Partners (BIP.UN.TO) are up 2.8% and 2.6%, respectively.

A report from the Canadian Federation of Independent Business said its business barometer in Canada, reflecting 12-month forward expectations for business performance in the country, climbed to 56.4 in May from an upwardly revised 47.6 in the prior month.

Revised data released by the Commerce Department on Thursday showed U.S. economic growth slowed by more than previously estimated in the first quarter of 2024. The Commerce Department said gross domestic product climbed by 1.3% in the first quarter compared to the previously reported 1.6% growth.

Meanwhile, first-time claims for U.S. unemployment benefits crept modestly higher in the week ended May 25th, according to a report released by the Labor Department.