Author: Consultant

• Private payrolls increased by just 122,000 in July, the slowest pace since January and below the upwardly revised 155,000 in June and the estimate for 150,000, ADP reported.
• Wages for those who stayed in their jobs increased 4.8% from a year ago, the smallest increase since July 2021.

https://www.cnbc.com/2024/07/31/private-payroll-growth-slowed-to-122000-in-july-less-than-expected-adp-says.html

 Fortis Inc. says it earned $331 million in its second quarter as it saw strength in its Arizona business and benefited from new customer rates at Tucson Electric Power.

The St. John’s, N.L.-based gas and electric utility company says the profit compared with $294 million in the same quarter a year ago.

The profit for the period ended June 30 amounted to 67 cents per share, up from 61 cents a year earlier.

Fortis says its adjusted net earnings amounted to 67 cents per share, up from 62 cents per share in the second quarter of 2023.

Revenue for the quarter reached $2.6 billion compared with $2.5 bullion a year earlier.

Its capital expenditures hit $1.1 billion in the quarter compared with about $1 billion a year prior.

This report by The Canadian Press was first published July 31, 2024.

Companies in this story: (TSX:FTS)

Canadian Pacific Kansas City Ltd.CP-T -0.26%decrease is reporting a bump in revenues and shipment volumes in its second quarter, even as profits dropped amid higher costs.

The railroad operator says net income fell 32 per cent to $903-million in the three months ended June 30 from $1.33-billion in the same period a year earlier.

CPKC says total revenues jumped 14 per cent to $3.60 billion from $3.17-billion, while operating expenses rose nearly five per cent to $2.34-billion.

The Calgary-based company says core adjusted combined diluted earnings increased 27 per cent last quarter to $1.05 per share from 83 cents per share the year before.

Meanwhile, freight volumes nudged up by more than one per cent year-over-year to nearly 1.09 million carloads.

Keith Creel, who heads the company that merged its operations with Kansas City Southern in April, 2023, says CPKC is on track to deliver on its financial forecast for the year.

Cameco Corp. CCO-T says its second quarter brought net earnings of $36-million, reflecting strength in its uranium business.

The Saskatoon-based mining firm says its net earnings attributable to equity holders compared with $14 million a year earlier.

The results for the period ended June 30 amounted to earnings of eight cents per basic shared compared with three cents a year earlier.

Revenue totalled $598 million, up from $482 million a year ago.

Cameco says the results reflect revenues of $481 million from its uranium business and $118 million stemming from its fuel services.

However, they also include a $47 million net loss for Westinghouse Electric Co., one of the world’s largest nuclear services businesses that Cameco and Brookfield Renewable Partners purchased last year.

Canada’s gross domestic product increased by 0.2 per cent in May, exceeding market expectations thanks in part to gains in the manufacturing sector, and the economy likely expanded at a 2.2 per cent annualized rate in the second quarter, data showed on Wednesday.

Analysts polled by Reuters had forecast GDP growth of 0.1 per cent in the month, after the 0.3 per cent rise in April.

In a preliminary estimate, GDP was likely up by 0.1 per cent in June, helped by increases in the construction, real estate, rental and leasing, as well as finance and insurance sectors, Statistics Canada said.

That estimate translates to a 2.2 per cent annualized growth rate for the second quarter, faster than the Bank of Canada’s 1.5 per cent forecast for the three months ended in June.

The growth rate was 1.7 per cent in the first quarter.

The central bank lowered its benchmark rate for a second straight month last week, and indicated its focus was shifting to boosting the economy. The bank expects growth to pick up in the second half of 2024, led by stronger exports and a recovery in household spending as borrowing costs ease.

The Canadian dollar firmed after the GDP numbers were released with the loonie trading up 0.22 per cent to 1.3817 against the U.S. dollar, or 72.37 U.S. cents.

Money markets are betting an almost 85 per cent chance of another 25 basis point rate cut at the bank’s next monetary policy decision announcement on Sept. 4, up from 60 per cent a week ago, but lower from around 92 per cent seen on Tuesday.

Growth in May was led by the manufacturing sector, which posted its largest gain since January 2023, and the educational services, health care and social assistance and public administration.

The opening of the expanded per cent pipeline in May also contributed to the growth, helping the pipeline transportation sector post a 0.6 per cent gain in the month, Statscan said.

Gains were partially offset by contractions in the retail trade, wholesale trade as well as mining, quarrying and oil and gas extraction sectors.

The mining, quarrying and oil and gas extraction sector was weighed down mainly by the oil and gas extraction, which declined partially due to maintenance at some facilities in northern Alberta.

Overall, 15 of 20 sectors expanded in May, with Canada’s goods-producing sector, which accounts for a quarter of the total GDP, gaining 0.4 per cent and the services sector posting a 0.1 per cent increase.

Wednesday’s monthly GDP report is based on Canada’s industrial output while quarterly figures, which will be released next month, are based on an alternate calculation and can differ.

CGI Inc. GIB-A-T +0.60%increase recorded net earnings of $440.1 million in its third quarter.

The Montreal-based technology and business consulting firm says the net earnings for the period ended June 30 compared with $414.9 million a year prior.

Those earnings amounted to $1.94 per basic share, compared with $1.78 a year ago.

The company’s revenue totalled $3.67 billion in the third quarter, up from $3.62 billion a year ago.

CGI also used its results to reveal it will pay a quarterly cash dividend of 15 cents per share.

The results and dividend news come a day after a U.S. subsidiary of CGI announced it will acquire tech business Aeyon, which has done artificial intelligence, data management and analytics work for the American government.

CGI Federal Inc. did not release the terms or value of the deal, but says it is expected to close in the fourth quarter of its 2024 fiscal year.

1. Alphabet (Google)

Alphabet Inc. is the parent company of Google and several former Google subsidiaries. It was created in 2015 to make the core Google business “cleaner and more accountable” while allowing greater autonomy to group companies that operate in businesses other than internet services. Alphabet’s key areas include Google Services (search, ads, YouTube, etc.), Google Cloud, and Other Bets (Waymo, Verily, etc.)¹.

2. Amazon

Amazon.com, Inc. is a multinational technology company focusing on e-commerce, cloud computing, online advertising, digital streaming, and artificial intelligence. Founded by Jeff Bezos in 1994, Amazon started as an online bookstore and has since expanded into a wide range of product categories and services, including Amazon Web Services (AWS), Amazon Prime, and more².

3. Apple

Apple Inc. is a global leader in consumer electronics, software, and online services. Founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne, Apple is known for its innovative products like the iPhone, iPad, Mac computers, Apple Watch, and services like the App Store, Apple Music, and iCloud. The company is headquartered in Cupertino, California³.

4. Meta Platforms (Facebook)

Meta Platforms, Inc., formerly known as Facebook, Inc., is a multinational technology conglomerate. It owns and operates Facebook, Instagram, WhatsApp, and Oculus, among other products and services. Meta focuses on building the metaverse, an integrated environment linking its products and services, and is heavily invested in virtual and augmented reality technologies⁴.

5. Microsoft

Microsoft Corporation is a leading technology company known for its software products like Windows, Microsoft Office, and Azure cloud computing services. Founded by Bill Gates and Paul Allen in 1975, Microsoft has expanded into various sectors, including gaming (Xbox), hardware (Surface devices), and professional networking (LinkedIn). The company is headquartered in Redmond, Washington⁵.

6. NVIDIA

NVIDIA Corporation is a technology company specializing in graphics processing units (GPUs) for gaming and professional markets, as well as system on a chip units (SoCs) for the mobile computing and automotive market. Founded in 1993, NVIDIA is a leader in AI computing and has made significant advancements in deep learning and autonomous vehicles.

7. Tesla

Tesla, Inc. is an electric vehicle and clean energy company founded by Elon Musk, JB Straubel, Martin Eberhard, Marc Tarpenning, and Ian Wright in 2003. Tesla designs and manufactures electric cars, battery energy storage from home to grid-scale, solar panels, and solar roof tiles. The company’s mission is to accelerate the world’s transition to sustainable energy.

PUBLISHED MON, JUL 29 20245:30 AM

• President Joe Biden unveiled a set of reform proposals to overhaul the Supreme Court including term limits for justices and a more binding ethics code.
• Biden is also calling for a constitutional amendment declaring that presidents do not have immunity from criminal prosecution for any crimes committed while in office, following the Supreme Court’s July ruling granting Donald Trump immunity for “official acts” he committed as president.
• With just under six months of his presidency left, Biden said that overhauling the Supreme Court will be a priority.

President Joe Biden on Monday unveiled a three-pronged proposal to reform the Supreme Court, a policy area that he said will be a focus of his remaining months in office.

Biden is calling for term limits on Supreme Court justices, a binding ethics code and a constitutional amendment declaring that presidents do not have immunity from criminal prosecution for any crimes committed while in office.

That proposed amendment, titled the “No One Is Above the Law Amendment,” responds to the Supreme Court’s ruling earlier in July that declared former President Donald Trump immune from criminal prosecution for “official acts” he committed as president.

Biden’s proposed ethics code comes after several Supreme Court justices, including Clarence Thomas and Samuel Alito, were caught in scandals involving undisclosed financial gifts that posed potential conflicts of interest.

Over the course of his administration, Biden has grown louder about his criticisms of the majority conservative high court, which has repealed federal abortion protections, limited the use of affirmative action in college admissions and struck down the president’s student debt relief program.

Following the Supreme Court’s 6-3 immunity ruling, Biden issued a full-throated condemnation, “This decision today has continued the Court’s attack in recent years on a wide range of long-established legal principles in our nation, from gutting voting rights and civil rights to taking away a woman’s right to choose to today’s decision that undermines the rule of law of this nation.”

Published: 7/29/2024 5:55 AM ET | 

Oil prices were subdued on Monday, heading into this week’s meeting of the Organization of Petroleum Exporting Countries (OPEC) and its allies.

Prices were flat to slightly lower in European trade after falling by 1.5 percent on Friday amid persistent concerns over top importer China.

Benchmark Brent crude futures dipped 0.3 percent to $80.03 a barrel while WTI crude futures were down 0.4 percent at $76.88.

The OPEC+ virtual meeting takes place on Thursday, and it is uncertain whether there will be any changes in production.

In its last meeting held in June, the oil cartel had decided to extend its voluntary production cuts till 2025.

A day before the OPEC+ meeting, the U.S. Federal Reserve is scheduled to announce its interest rate decision.

Investors are pinning hopes that the accompanying policy statement will provide hints on the likelihood of an interest rate cut in September.

Market participants also kept a close eye on the latest developments in the Middle East following a rocket strike in the Israeli-occupied Golan Heights.

The rocket strike killed 12 children and teens in what the military called the deadliest attack on civilians since Oct. 7.

Turkish President Recep Tayyip Erdogan escalated tensions with Israel on Sunday, suggesting the possibility of military action against the Jewish state amid ongoing conflict with the Iranian proxy group Hezbollah.