Toronto stocks battered by profit-taking
TORONTO (Reuters) - The Toronto Stock Exchange's main index
ended a volatile session more than 250 points lower on
Wednesday, as profit-taking hit energy issues, sparking a broad
late-day selloff following recent record highs. After pushing
higher earlier in the day, oil and gas companies reversed
direction, even though crude prices hit a record over $133 a
barrel on an unexpected drop in U.S. stockpiles.
Talisman shares slip after corporate revamp
CALGARY, Alberta (Reuters) - Talisman Energy Inc
shares slipped on Wednesday, a day after the company announced
a major revamp of its global oil and gas exploration business
and a C$2 billion ($2.04 billion) asset sale. The company's
shares shed 48 Canadian cents to C$24.42 on the Toronto Stock
Exchange after Chief Executive John Manzoni unveiled a
long-awaited strategic review that will see Canada's No. 3 oil
explorer hone its assets and boost spending in promising
regions to raise production.
Canada inflation edges up, doubts cast on rate move
OTTAWA (Reuters) - Canada's annual inflation rate skipped
above expectations to 1.7 percent in April, because of
double-digit gasoline price hikes, casting doubt on the timing
of the Bank of Canada's next interest rate cut. The jump in the
April consumer price index, reported by Statistics Canada on
Wednesday, was the first upturn in five months and topped the
1.4 percent forecast by market analysts. Month-on-month, the
rate was up 0.8 percent from March.
EnCana sees quick rise back to top gas producer
CALGARY, Alberta (Reuters) - EnCana Corp's natural
gas spinoff should regain top spot among North American gas
producers within two years as output from its East Texas and
other properties ramps up, the company's chief financial
officer said on Wednesday. EnCana, which announced on May 11 it
is splitting in two, says it is currently the continent's
biggest gas producer, but that will change with the
reorganization.
Canadian dollar powered higher by inflation data
TORONTO (Reuters) - The Canadian dollar rose 0.8 percent
against the U.S. dollar on Wednesday after a report showed
inflation was creeping back into Canada, prompting investors to
bet the Bank of Canada's rate-easing cycle was nearing its end.
Domestic bond prices fell as aggressive interest rate cuts were
priced out of the market.
Air Canada sees fuel costs hurting air travel
MONTREAL (Reuters) - High fuel prices that are consuming a
growing proportion of income at Air Canada will likely
hurt demand for air travel, the airline's chief executive said
on Wednesday. Montie Brewer, Air Canada's president and CEO,
said the rapid rise and volatility of fuel prices was a concern
at the country's biggest airline, which is pushing ahead with
plans to use newer, more fuel-efficient aircraft.
Starbucks to buy 40 stores from Canada licensees
LOS ANGELES (Reuters) - Starbucks Corp subsidiary
Starbucks Coffee Canada Inc said on Wednesday it has struck a
deal to buy about 40 stores and other assets from two licensees
in Quebec and Atlantic Canada. Starbucks said it would convert
the licensees' stores to company-operated outlets and buy full
development and operation rights for future retail stores in
the provinces now controlled by the licensees.
Cameco pollutants may be seeping into Lake Ontario
TORONTO (Reuters) - Contaminants such as arsenic and
uranium that shut down Cameco Corp's Port Hope,
Ontario, nuclear conversion facility last year may be seeping
into nearby Lake Ontario, the company said on Wednesday. The
news sent shares of the company down about 4 percent as
investors worried about higher costs, a larger-than-expected
cleanup, and potential litigation.
JPMorgan to cut 55 pct of Bear staff: CEO
NEW YORK (Reuters) - More than 7,600 Bear Stearns Cos' employees, about 55 percent of its staff, are expected
to lose their jobs as the troubled investment bank is absorbed
into JPMorgan Chase & Co , JPMorgan Chief Executive
James Dimon said Tuesday. While discussing the historic $1.5
billion Bear Stearns takeover during Morgan's annual
shareholder meeting, Dimon said "we're retaining 45 percent of
Bear Stearns staff."
Nortel reconfirms 2008 outlook
TORONTO (Reuters) - Nortel Networks Corp
reconfirmed its previous 2008 outlook on Wednesday that sees
its revenue growing in the low single digits compared with
2007. The telecommunications company also said it expects its
gross margin to be about the business model target of 43
percent of revenue, while operating margin as a percentage of
revenue is seen increasing by about 300 basis points compared
with 2007.
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