Stocks Flat at Open

Canada's main stock index opened subdued on Friday after a hotter-than-expected monthly producer inflation report from the United States dampened hopes of an early rate cut, while rising crude and copper prices limited declines.

The TSX Composite eked up 6.83 points, to start out Friday at 21,229.52

The Canadian dollar moved backwards 0.16 cents at 74.08 cents U.S.

In corporate news, Air Canada reported a smaller adjusted loss on Friday, as it benefited from resilient demand for international travel. Shares in “The Maple Leaf Airline” scaled back $1.04, or 5.4%, to $18.22.

Meanwhile, Fairfax Financial Holdings beat estimates for fourth-quarter profit, helped by higher gains from investments, the insurer reported on Thursday after the bell. Fairfax shares dropped in price $7.19 to $1,393.45.

On the economic front, Statistics Canada says Canadian investors acquired an unprecedented $29.4 billion of foreign securities in December, led by a record investment in foreign shares. Meanwhile, foreign investment in Canadian securities totalled $10.4 billion, mainly in debt instruments.

As well, wholesale sales grew 0.3% to $82.9 billion in December.

ON BAYSTREET

The TSX Venture Exchange edged up 1.05 points to 553.54.

Seven of the 12 subgroups slid, with health-care and real estate each down 0.7%, and information technology off 0.6%.

The five gainers were led by materials, up 0.5%, while communications grew 0.3%, and industrials took on 0.2%.

ON WALLSTREET

Stocks declined Friday after yet another hot inflation report stoked fears that Federal Reserve rate cuts may not arrive until later than anticipated this year.

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The Dow Jones Industrials eased 100.25 points to open Friday at 38,672.87.

The much-broader index backed off 17.32 points to 5,012.41.

The NASDAQ index surrendered 109.06 points to 15,797.11.

Bank of America and other financial shares led the losses Friday, on fears rates would remain higher for longer this year, weighing on consumers’ finances and the overall economy. Bank of America and Capital One Financial were each down about 1% in early trading.

However, A.I. darling Nvidia remained higher Friday as it got another uber-bullish call from a Wall Street analyst, with Loop Capital saying it was set to eventually top $1,200.

Shares of food delivery service DoorDash dropped 11% on a wider-than-expected loss, while digital advertising company Trade Desk popped about 23% after topping analysts’ fourth-quarter revenue estimates and offering an upbeat outlook for the first quarter.

The producer price index for January, a measure of wholesale inflation, increased 0.3%. Economists polled by Dow Jones had anticipated a gain of 0.1%. Excluding food and energy, core PPI rose increased 0.5%, higher than the expectations for a 0.1% advance.

Prices for the 10-year Treasury dropped, raising yields to 4.30% from Thursday’s 4.24%. Treasury prices and yields move in opposite directions.

Oil prices added 46 cents to $78.49 U.S. a barrel.

Gold prices removed $1.30 to $2,013.60.