PRE-OPEN
Canadian futures are moving lower as investors remained cautious ahead of inflation and retail sales data, while gold prices weighed on the index. European shares fell following a cautious forecast from HSBC, while an upbeat performance in Engie helped trim some losses. Japan’s stock markets ended lower as the country’s manufacturing activity contracted at its fastest pace in 30 months in February. The U.S dollar rose as investors awaited economic data. Brent oil fell, as concern about a global economic slowdown prompted investors to take profits on the previous day’s gains, outweighing supply curbs.
Each Unit consisted of one common share (“Common Share”) in the capital of the Company and one-half common share purchase warrant (“Warrant”). Each Warrant entitles the holder thereof to acquire one Common Share at a price of $0.62,
for a period of 18 months from the closing of the Offering.
https://www.youtube.com/watch?
Theralase® Technologies Inc. (TSXV: TLT) (OTCQB: TLTFF), a clinical stage pharmaceutical company focused on the research and development of light activated Photo Dynamic Compounds (“PDCs”) and their associated drug formulations, used to safely and effectively destroy various cancers, bacteria and viruses, is pleased to announce it has been named to the Toronto Stock Exchange (“TSX”) Venture Exchange’s 2023 Venture 50™. The Venture 50™ is an annual ranking of the top-performing companies from five industry sectors; specifically: Clean Technology and Life Sciences, Diversified Industries, Energy, Mining, and Technology. Theralase® was recognized in the Clean Technology and Life Sciences category.
The Venture 50™ ranking is comprised of the top performing companies on the TSX Venture Exchange in 2022, selected based on the equally weighted criteria of: market capitalization, share price appreciation and trading volume. Selected Venture 50™ companies have seen tremendous growth over the past year, offered excellent returns to their shareholders and are actively traded in the market.
Theralase® was previously named a TSX Venture 50™ company in 2015, 2019 and 2020 making this the fourth year Theralase® has been recognized as a top performer in the Clean Technology & Life Sciences sector in the last 8 years.
Sigma Lithium Corp: U.S.-listed shares of the company rose in extended trading on Friday after Bloomberg News reported that Tesla was weighing a takeover of the Canada-based battery metals miner. Tesla has been speaking with potential advisers about a bid, the report said, citing people with knowledge of the matter, and added that Sigma Lithium is one of the many mining options the electric-vehicle maker is exploring as it mulls its own refining. Sigma is finishing construction of a hard rock lithium mine in Brazil that it expects to open by April. The mine will produce spodumene concentrate, which can be used to make lithium hydroxide, a type of the metal preferred by some automakers including Tesla and BMW.
Royal Bank of Canada: The bank has hired Doug Crofton from Credit Suisse AG as head of cash equities execution for the United States, a source with knowledge of the move told Reuters. Crofton joins the Canadian lender in New York. At Credit Suisse AG, he was most recently co-head of global equities with Neil Hosie. In a memo seen by Reuters, Credit Suisse said last week that Crofton was leaving the bank to pursue other opportunities.
First Quantum Minerals Ltd: The Canadian miner said it may halt operations in Panama on Feb. 23 as it approaches a “critical point” of copper storage capacity after the government suspended its loading permissions at a port. “Our team is making all efforts to create additional storage space, but we have run out of available options,” an internal memo sent to employees Friday and seen by Reuters said, requesting the government intervene and allow First Quantum’s anchored ship to be loading copper concentrate. First Quantum Chief Executive Officer Tristan Pascall said on an earnings call Wednesday the company could start shipping immediately after the government gives the green light.
Rogers Communications Inc & Shaw Communications Inc: As Rogers Communications’ long-delayed takeover of Shaw Communications nears its final hurdle, bankers, lawyers and shareholder advisors are preparing to finally pocket a C$100 million-plus fee from the bitterly contested deal. Rogers and Shaw estimated in April 2021 that the transaction would cost C$100 million in total fees, but some bankers and lawyers now expect the payout to be higher due to the lengthy court battle. Rogers declined to provide revised figures. The Rogers-Shaw deal is expected to be the tenth-largest deal in Canadian history since 1995, according to data from Dealogic. Law firms Lax O’Sullivan Lisus Gottlieb represented Rogers, while Davies Ward Phillips & Vineberg and Wachtell are lawyers for Shaw.
Teck Resources Ltd: The Canadian miner said it has changed its name to Teck Metals and would also spin off its steelmaking coal unit as Elk Valley Resources. The Canadian miner also said its fourth-quarter profit missed estimate, partly dented by its overall steelmaking coal business that slumped more than 40% in the reported period. Teck shareholders will receive common shares of EVR in proportion to their shareholdings at an exchange ratio of 0.1 common share of EVR for each Teck share, and about 39 Canadian cents per share in cash for an aggregate of C$200 million. Teck Metals will receive an 87.5% interest in gross revenue royalty from the steelmaking coal business through the transititon period.
ECONOMIC DATA (EST)
0830 CPI inflation mm for Jan: Expected 0.7%; Prior -0.6%
0830 CPI inflation yy for Jan: Expected 6.1%; Prior 6.3%
0830 CPI BoC core yy for Jan: Prior 5.4%
0830 CPI BoC core mm for Jan: Prior -0.3%
0830 CPI mm SA for Jan: Prior -0.1%
0830 Core CPI mm SA for Jan: Prior 0.3%
0830 CPI median for Jan: Prior 5.0%
0830 CPI trim for Jan: Prior 5.3%
0830 CPI common for Jan: Prior 6.6%
0830 CPI NSA for Jan: Prior 153.1
0830 CPI yy SA for Jan: Prior 6.49%
0830 Retail sales mm for Dec: Expected 0.5%; Prior -0.1%
0830 Retail sales ex-autos mm for Dec: Expected -0.1%; Prior -0.6%
COMPANIES REPORTING
5N Plus Inc: Expected Q4 earnings of 2 cents per share
DREAM Unlimited Corp: Expected Q4 earnings of 99 Canadian cents per share
GFL Environmental Inc: Expected Q4 earnings of 9 Canadian cents per share
Gibson Energy Inc: Expected Q4 earnings of 41 Canadian cents per share
Lucara Diamond Corp: Expected Q4 earnings of 3 cents per share
Ritchie Bros Auctioneers Inc: Expected Q4 earnings of 59 cents per share
Sandstorm Gold Ltd: Expected Q4 earnings of 1 cent per share
Triple Flag Precious Metals Corp: Expected Q4 earnings of 11 cents per share
CORPORATE DATA (EST)
1100 Caldwell Partners International Inc: Annual Shareholders Meeting
1700 DREAM Unlimited Corp: Q4 earnings conference call
1700 Ritchie Bros Auctioneers Inc: Q4 earnings conference call
Nikkei: 27,477.52; down 0.2%; 54.42 points
MSCI Asia, Ex-JP: 530.02; down 0.69%; 3.66 points
EUR/USD: $1.0671; down 0.12%; 0.0013 point
GBP/USD: $1.2027; down 0.11%; 0.0013 point
USD/JPY: 134.41 yen; up 0.13%; 0.17 point
Spot Gold: $1,838.65; down 0.14%; $2.49
U.S. Crude: $76.28; down 0.08%; $0.06
Brent Crude: $83.02; down 1.25%; $1.05
10-Yr U.S. Treasury Yield: 3.8496%; up 0.023 point
10-Yr Bund Yield: 2.4575%; up 0.002 point
Euro STOXX 50 futures were down 6 points at 4,273, FTSE futures lost 10 points to 7,971.5, and German DAXfutures dropped 11 points at 15,499, by 0530 GMT.
Japan’s Nikkei share average edged down after a business survey showed the country’s manufacturing activity contracted at its fastest pace in 30 months in February.
Brent oil fell, reversing the previous day’s gain, as fears that a global economic slowdown, and drop in fuel demand, amid aggressive interest rate hikes by the U.S. central bank prompted investors to take profits.
PRE-OPEN
U.S. futures are trading lower on fears that interest rates will remain higher for longer coupled with disappointing results which are adding to the gloomy mood.
Abbott Laboratories: The company said on Friday it received a civil investigative demand in January from the Federal Trade Commission related to a probe of the companies participating in bids for women, infants and children formula contracts. Panicked parents had emptied baby formula aisles at supermarkets last year as a recall of formulas produced at an Abbott facility in Michigan over complaints of bacterial infections worsened a shortage started by pandemic-led supply chain issues. The Wall Street Journal had reported in January that Abbott’s Michigan plant faced a criminal investigation by the Justice Department. On Friday, Abbott said in a regulatory filing that multiple civil lawsuits have been filed against the company regarding its manufacturing of certain powder infant formula products.
Activision Blizzard Inc & Microsoft Corp: Microsoft President Brad Smith will seek to convince EU antitrust regulators at a closed hearing that the U.S. software giant’s $69 billion bid for “Call of Duty” maker Activision Blizzard will boost competition. The hearing will allow Xbox maker Microsoft to gauge the mood among senior EU and national competition officials and European Commission lawyers ahead of the submission of remedies to address antitrust concerns. “I think we will make clear that our acquisition of Activision Blizzard will bring more games to more people on more devices and platforms than ever before,” Smith told reporters on his way to the hearing. Meanwhile, Microsoft said on Friday it will limit chat sessions on its new Bing search engine powered by generative artificial intelligence (AI) to five questions per session and 50 questions per day.
Apple Inc: Foxconn Chairman Liu Young-way departed for a four-day inspection of the company’s iPhone plant in Zhengzhou, China, a source with direct knowledge of the matter said. This will be Liu’s first visit to the world’s largest Apple iPhone factory in his role as chairman, and his main goals are to review conditions after the resumption of production and to extensively exchange views, the source said. Meanwhile, proxy advisory firm Institutional Shareholder Services (ISS) has urged Apple’s investors to vote for its director nominees and the pay packages for top executives, including Chief Executive Tim Cook.
Boeing Co: The planemaker on Friday awarded Chief Executive Dave Calhoun an incentive worth approximately $5.29 million to induce him to stay throughout the company’s recovery from the twin crises of the COVID-19 pandemic and two deadly 737 MAX crashes that led to the fleet’s grounding. The move suggests Boeing’s current board of directors may not seek to replace Calhoun with a new CEO until at least the mid 2020s, when the company is expected to return to pre-pandemic production rates. The award to Calhoun comes just weeks after Boeing reported its first yearly positive cash flow since 2018.
Discover Financial Services: The company, a provider of credit cards, told Reuters it will allow its network to track purchases at gun retailers come April, making it the first among its peers to publicly give a date for moving ahead with the initiative, which is aimed at helping authorities probe gun-related crimes. Discover’s announcement came after the International Organization for Standardization (ISO), which decides on the classification of merchant categories used by payment cards, approved in September the launch of a dedicated code for gun retailers. Discover said it will include the new code in its next policy and product update to merchants and payment partners in April. “We remain focused on continuing to protect and support lawful purchases on our network while protecting the privacy of cardholders,” Discover said in its statement to Reuters.
Exxon Mobil Corp: Guyana Vice President Bharrat Jagdeo told Reuters the country plans to take back 20% of the giant Stabroek oil block that has been responsible for a series of massive discoveries from a consortium led by Exxon Mobil, and remarket it by next year. More than 11 billion barrels of oil and gas found to date in the 6.6 million acre block. The group’s contract allows Guyana to reclaim unexplored portions this year, Jagdeo said in an interview from the country’s capital. The Exxon group has missed investment deadlines for portions of the block not under exploration or development, he said, and under terms of the license, Exxon must relinquish a minimum of 20% of the contract area not retained under a exploration or production license. “We are in ongoing discussions with the Government regarding those requirements, in respect to both timing and area,” spokesperson Meghan Macdonald said.
Lockheed Martin Corp: The U.S. Navy has awarded the company a contract worth up to $2 billion related to hypersonic weapon systems, the defense firm said on Friday, amid a global uptick in demand for arms and ammunitions. Under the contract, Lockheed will integrate the Conventional Prompt Strike (CPS) weapon system on to the navy’s ZUMWALT-class destroyer stealth ships. The defense contractor will also provide launcher systems, weapon control, integrated missile components, and platform integration support for the naval platform. The contract comes as the United States and its global rivals have been developing several hypersonic weapons, which travel in the upper atmosphere at more than five times the speed of sound.
Meta Platforms Inc: Facebook on Monday temporarily fought off a collective lawsuit valued at up to 3 billion pounds over allegations the social media giant abused its dominant position to monetise users’ personal data. However, a London tribunal gave the proposed claimants’ lawyers up to six months to “have another go” at establishing any alleged losses by users. Legal academic Liza Lovdahl Gormsen, who is bringing the case, says Facebook users were not properly compensated for the value of personal data they had to provide to use the platform. A spokesperson for Meta said the company welcomed the decision and referred to its previous statement that the lawsuit is “entirely without merit”.
Pepsico Inc & Starbucks Corp: Pepsico recalled more than 25,000 cases of Starbucks chilled coffee drink after glass was found in some of the bottles, the U.S. Food and Drug administration said in a notice. The voluntary recall, which was initiated on Jan. 28, covers more than 300,000 bottles of the Starbucks frappuccino vanilla chilled coffee drink, the FDA said. The FDA classified this as a Class 2 recall, which means the “product may cause temporary or medically reversible adverse health consequences or where the probability of serious adverse health consequences is remote”, according the agency’s website. Distributed nationwide by PepsiCo, the bottles with expiration dates Mar. 8th, May 29th, Jun. 4th and 10th, have been affected, according to the notice. Seaparately, the tech giant on Sunday announced that it is testing a monthly subscription service, called Meta Verified, which will let users verify their accounts using a government ID and get a blue badge, as it looks to help content creators grow and build communities.
Tesla Inc: Lawyers for Elon Musk and a Tesla investor will make closing arguments in a trial over his $56 billion pay package and whether it fueled the electric carmaker’s growth or improperly subsidized Musk’s dream of one day traveling to Mars. The arguments follow a five-day trial in November that featured testimony from the Tesla chief executive about the origins of the 2018 pay package and whether its performance goals were difficult to achieve and accurately described to investors. Musk, who founded rocket company SpaceX, admitted during his testimony that his pay package provided funds he would use to finance interplanetary travel. Separately, the United States National Highway Traffic Safety Administration (NHTSA) said on Monday it has asked the automaker for additional information after one of its vehicles collided with a fire truck in California.
TPG Inc: U.S. private equity firm said on Sunday it and other investors had bought Malaysian private education assets from regional buyout firm KV Asia Capital. TPG said it had acquired a controlling stake in Asia Pacific University of Technology and Innovation, along with co-investors including Malaysian funds, KWAP and EPF. Sources told Reuters last week the deal could be worth more than $300 million.
Uber Technologies Inc: The company said on Monday it will introduce electric vehicles (EVs) in India for ride-sharing, its first move to adopt clean cars amid an Indian government push for greater electrification of public transport and shared mobility. Uber’s fleet partners will buy the EVs from Tata Motors\, India’s biggest electric carmaker, Prabhjeet Singh, president, Uber India and South Asia, said during a phone interview on Monday. “When you’re looking at great transitions, you also don’t want to rush into those without necessarily fully appreciating the economics and trade-offs,” Singh told Reuters. Even with 25,000 EVs, electric cars will still be a fraction of Uber’s current overall active fleet of 300,000 vehicles in India, according to Singh. Uber has set a 2040 target for 100% of its rides to be in zero-emission vehicles, public transport or with micro-mobility, including in India.
United Parcel Service Inc: Coyote Logistics, nonunion freight brokerage subsidiary of the company, on Friday said it was laying off workers as rising interest rates, inflation and a resumption of pre-pandemic consumer spending patterns weaken demand for trucking services. Chicago-based Coyote did not say how many employees would be affected. A Feb. 16 report from transportation news provider FreightWaves said 200 jobs would be eliminated. The demand slowed when restaurant dining reopened, travel resumed and global economies started flashing recession warnings, and now those same companies are slashing jobs.
ECONOMIC DATA (EST)
0945 S&P Global Manufacturing PMI Flash for Feb: Expected 47.1; Prior 46.9
0945 S&P Global Services PMI Flash for Feb: Expected 47.1; Prior 46.8
0945 S&P Global Composite Flash PMI for Feb: Expected 47.5; Prior 46.8
1000 Existing home sales for Jan: Expected 4.10 mln; Prior 4.02 mln
1000 Existing home sales % change for Jan: Expected 2.0%; Prior -1.5%
Russian President Vladimir Putin was due to make a speech setting out aims for the second year of his invasion of Ukraine, a day after U.S. President Joe Biden walked the streets of Kyiv promising to stand with Ukraine as long as it takes.
Japan’s manufacturing activity contracted at the fastest pace in 30 months in February, a business survey showed, in a worrying sign for the world’s third-largest economy, which is facing weakening demand and struggling to tame cost pressures.
Six people were killed in an earthquake which struck the border region of Turkey and Syria, CNN Turk reported, two weeks after a larger quake killed more than 47,000 people and damaged or destroyed hundreds of thousands of homes.
HSBC Holdings reported quarterly profit rocketed 92%, beating estimates, as rising interest rates swelled net interest income, prompting Europe’s largest bank to offer long-suffering investors a dividend and share buyback bonanza.
Swiss financial regulator Finma is reviewing remarks made by Credit Suisse Group Chairman Axel Lehmannabout outflows from the lender having stabilized in early December, two people with knowledge of the matter told Reuters.
Luxury carmaker Jaguar Land Rover said it is opening three new engineering hubs in Europe to develop autonomous vehicle technologies as part of its partnership with Silicon Valley artificial intelligence company Nvidia.
HSBC Holdings Plc: The bank dampened investors’ expectations of a sustained income bonanza from rising global interest rates, even after Europe’s biggest bank reported a 92% surge in quarterly profit and pledging more regular dividends and share buybacks. The London-headquartered bank said it would pay a special dividend of $0.21 per share, from the proceeds of the $10 billion sale of its Canada business. HSBC reported pretax earnings of $5.2 billion for the fourth quarter, up from $2.7 billion a year earlier and ahead of the $4.96 billion average estimate of analysts compiled by the bank. Despite the fourth-quarter surge, annual profit fell to $17.5 billion from $18.9 billion for 2021, due to an impairment of $2.4 billion related to the sale of its retail banking operations in France. Additionally, HSBC cut its annual bonus pool by 4% to $3.4 billion in 2022, the bank said, as a global slump in dealmaking led it to trim awards for its bankers.
Koninklijke Philips NV: The Dutch health technology company’s top management will not take any bonuses for 2022 after a global recall of respiratory devices resulted in a 70% plunge in the company’s market value, it said. Given the company’s performance and negative experience of shareholders and other stakeholders, the current management board has waived any 2022 annual incentive payouts, the company said in its annual report. “2022 was a very disappointing year for Philips and its stakeholders,” it said. In its annual report, Philips said it was in negotiations with the U.S. Department of Justice over a settlement relating to the recall.
ECONOMIC DATA (GMT)