Shopify and Air Canada help lift Toronto stock index, energy shares drag


TORONTO _ Strong earnings results from Shopify (TSX:SHOP) and Air Canada (TSX:AC) helped offset dragging energy shares on the Toronto Stock Exchange’s main index Tuesday.

The S&P/TSX composite index was up 58.23 points to 15,202.10, with information technology and industrials sectors among the leading advancers.

Energy stocks, which retreated more than 0.7 per cent, were the biggest decliners.

“We’re seeing a lot of activity, particularly in the tech sector,” said Cavan Yie, a portfolio manager at Manulife Asset Management. “But the biggest driver in that sector is Shopify’s quarter.”

Second-quarter results from the Ottawa-based e-commerce company topped expectations, and its stock closed up $15.72, or 13.68 per cent, to $130.61.

Elsewhere on the corporate front, Air Canada shares jumped $1.91, or 9.63 per cent, to $21.74 after it reported record second-quarter earnings.

The airline posted a $300 million profit for the period ending June 30, up from $186 million a year ago, as traffic increased and costs dropped.

“They put up a very strong earnings number that was above expectations and they also provided a more positive outlook for their business,” said Yie.

In New York, the Dow Jones industrial average advanced 72.80 points to 21,963.92, its fifth-straight day of record highs. The S&P 500 index edged up 6.05 points to 2,476.35 and the Nasdaq composite index added 14.82 points to 6,362.94.

The Canadian dollar was trading at an average price of 79.91 cents US, down 0.19 of a cent.

In commodities, the September crude contract was down $1.01 to US$49.16 per barrel while September natural gas was up three cents at US$2.82 per mmBTU.

December gold gained $6.00 to US$1,279.40 an ounce and the September copper gave back one cent at US$2.88 a pound.