Category: Canada

4:07pm: S&P 500 finishes strongly

Stocks wrapped up Thursday’s session on a high note, lifted by fresh signs of easing inflation, upbeat earnings from Oracle, and renewed optimism around US-China trade talks.

The Dow ended the day at 42,968, up 102 points or 0.2%, with industrials and financials leading the charge. The S&P 500 climbed 23 points to 6,045, also up 0.4%, as investors piled into technology and healthcare stocks. The Nasdaq added 47 points to finish at 19,662, with tech giants once again in the driver’s seat, though momentum cooled slightly into the close.

The Russell 2000, which tracks smaller companies, lagged behind—slipping 11 points, or 0.5%, to 2,137, as worries over borrowing costs and uneven growth weighed on sentiment.

Fueling the rally was a cooler-than-expected reading on wholesale inflation for May, echoing earlier consumer price data and reinforcing hopes that the Federal Reserve might begin cutting rates later this year. Lower inflation typically boosts investor confidence by reducing the pressure on the Fed to keep rates elevated.

Adding to the bullish tone, Oracle’s blowout earnings and optimistic cloud growth forecast gave tech stocks a boost, helping to propel both the S&P 500 and Nasdaq to fresh highs.

Meanwhile, the ongoing narrative of improving U.S.-China trade relations added another layer of support. Investors remain cautiously hopeful that negotiations are inching toward a framework that could ease global trade tensions.

All in all, a broadly positive session—with some rotation beneath the surface—as investors weigh cooling inflation and strong earnings against a still-uncertain macro backdrop.

3:40pm: Proactive news headlines

• GameStop Corp (NYSE:GME) shares tumbled nearly 20% after the company announced a $1.75 billion private offering of zero-coupon convertible senior notes due 2032.
• Northstar Gold Corp (CSE:NSG) has outlined a high-grade copper exploration target at its Cam Copper Mine, estimating up to 140,000 tonnes grading as high as 18% copper.
• New Era Helium Inc (NASDAQ:NEHC) said its AI-focused joint venture, Texas Critical Data Centers, is in active discussions with enterprise customers to support a new AI infrastructure project.
• M2i Global (OTC:MTWO) is set to be acquired by aviation tech company Volato Group Inc., forming a dual-platform public company across minerals and aviation.
• Lancaster Resources Inc (CSE:LCR, OTCQB:LANRF) has acquired full ownership of the Lac Iris polymetallic project in Quebec, located near key regional lithium discoveries.
• Nextech3D.AI (CSE:NTAR, OTCQX:NEXCF) secured a $175,000 contract to deliver 2,000 3D models and cloud services to an enterprise client over the next year.
• Cornish Metals Inc (AIM:CUSN, TSX-V:CUSN, OTC:SBWFF) received up to £4.19 million in UK grant funding to advance its Bartles Foundry project at the South Crofty site.
• Bango PLC (AIM:BGO, OTCQX:BGOPF) signed a landmark deal with South Korea’s KT to support subscription bundles using its Digital Vending Machine platform, lifting its shares 11%.
• CleanTech Lithium PLC (AIM:CTL, OTCQX:CTLHF) outlined 2025 goals including a feasibility study, pilot production scaling, and regulatory approvals for its flagship Chilean project.
• Imaging Biometrics Ltd (LSE:IBAI, OTCQB:IQAIF) plans to revise its FDA application for Breakthrough Therapy Designation for its brain cancer drug, oral gallium maltolate.
• Phoenix Copper Ltd (AIM:PXC, OTCQX:PXCLF) shares soared 46% after it agreed to a proposed $75 million bond deal with a U.S. investor to fund its copper development plans.
• Team Internet Group PLC (AIM:TIG, OTCQX:TIGXF) has secured a 10-year contract to operate Colombia’s .co internet domain, home to over 3 million active registrations.
• Vinanz Ltd (LSE:BTC, OTCQB:VINZF) is launching a £1 million retail share offering to give UK investors access to Bitcoin through a London Stock Exchange-listed company.
• Peninsula Energy Ltd (ASX:PEN, OTCQB:PENMF) is nearing completion of Phase II construction at its Lance uranium project in Wyoming, with commissioning expected to begin in June 2025.

2:35pm: Stocks on the move

• Oracle Corp shares jumped over 14% to a record high as analysts lauded its accelerating cloud revenue and massive $275 billion deal backlog, despite rising capex and margin concerns.
• GameStop Corp shares plunged 19.5% after the company announced plans to raise up to $1.75 billion through a private offering of zero-coupon convertible notes due 2032.
• BioNTech is acquiring fellow mRNA developer CureVac in an all-stock deal valued at $1.25 billion to enhance its cancer immunotherapy pipeline and manufacturing capabilities.
• Northstar Gold Corp. defined a high-grade copper exploration target at its Cam Copper Mine with estimated grades averaging 12% copper.
• New Era Helium Inc. said its AI-focused joint venture, TCDC, is in discussions with large enterprise clients to anchor a planned infrastructure buildout in Texas.
• Boeing Co shares dropped 8% following the crash of one of its aircraft in India, with no survivors expected among the 228 passengers and crew.
• Phoenix Copper Ltd soared 46% after signing a letter of intent for a $75 million bond placement with a U.S. investor to fund its mining expansion.

1:55pm: Oracle at all time high

Oracle Corp (NYSE:ORCL, ETR:ORC) shares surged more than 14% to a record high of $201.72 on Thursday, as analysts praised the software giant’s accelerating cloud growth and massive deal backlog, despite concerns over rising capital expenditures and margin pressure.

UBS analysts said the stock’s rally is justified by “bullish demand signals,” even if the company’s free cash flow outlook deteriorated.

The backlog surge caught attention across Wall Street. Jefferies analysts called it a signal of “Cloud upside in FY26,” adding that “massive RPO guide… bolsters confidence in continued OCI revenue growth.” Oracle’s infrastructure-as-a-service (IaaS) revenue is expected to grow more than 70% in FY26, up from 51% last year, while total cloud revenue is guided to rise more than 40%, according to Jefferies.

12:50pm: Trump comments stir Fed, EV debate

US stocks are edging higher at midday Thursday as investors sift through fresh economic signals and headline-making comments from both corporate and political heavyweights.

The Dow is up 0.1%, while the S&P 500 and Nasdaq are both up 0.3%, supported by upbeat sentiment around IPOs and corporate resilience.

Shares of fintech company Chime ($CHYM) made a splashy debut, opening at $43—an impressive 59% above its IPO price.

On the policy front, investors are watching China-US trade dynamics after Treasury Secretary Bessent suggested the current pause on China tariffs might end as soon as August.

Meanwhile, Donald Trump made headlines with comments on interest rates and his conversation with Elon Musk. Trump said Musk was “very honest” about the electric vehicle mandate but “got a little bit strange” after discussing its broader impact.

Trump also took aim at Fed policy, claiming he told Jerome Powell to hike rates if inflation resurfaces—but added, “I may have to force something” if rates stay too high.

11:47am: BioNTech to buy CureVac

Big news out of the biopharma sector: BioNTech (NASDAQ:BNTX) announced that it is acquiring CureVac (NASDAQ:CVAC), a fellow German mRNA vaccine developer, in an all-stock deal valued at approximately $1.25 billion.

The acquisition aims to combine the two companies’ complementary scientific capabilities, proprietary technologies, and manufacturing expertise of both companies to strengthen BioNTech’s research, development, manufacturing, and commercialization of mRNA-based cancer immunotherapy candidates.

Shares of CureVac popped almost 38% at about $5.60 on the news while BioNTech’s Nasdaq-listed shares traded up 0.2% at about $106.

11:15am: PPI lifts sentiment

US producer price data pushed the dollar lower and lifted gold prices on Thursday, offering a boost to market sentiment, according to Chris Beauchamp, Chief Market Analyst at IG.

Beauchamp noted that while Wednesday’s consumer price inflation report failed to lift markets, “the buyers are trying again in the wake of the PPI data, which has followed a similar pattern.”

Beauchamp added that fears of an immediate Israeli strike on Iran have eased somewhat, helping to calm nerves. With major economic data and earnings behind them, and no rate change expected from the Federal Reserve next week, he cautioned investors to remember the market adage: “never short a quiet market.”

10:35am: May inflation remains cool

Recent data showing cooler inflation and a softening labor market has made a potential Federal Reserve rate cut in 2025 more plausible, according to Bill Adams, Chief Economist at Comerica Bank.

Initial jobless claims remained elevated at 248,000 for the second week in a row, while continued claims rose to nearly 2 million—the highest since 2021.

“Reading between the lines of initial and continued claims, people who are losing jobs in 2025 are having a harder time finding new ones than in 2024 or 2023,” Adams noted, pointing to a slowdown in hiring as well.

Meanwhile, May’s Producer Price Index (PPI) data came in cooler than expected, suggesting that inflation pressures—especially from tariffs—may be less intense than business surveys had indicated. Core PPI, which excludes food and energy, rose just 0.1% on the month, while the annual rate eased to 3%.

“Tariffs were expected to add to the increase of core PPI goods…but that component registered an unremarkable moderate increase,” Adams said, contrasting PPI with hotter input cost readings from PMI surveys.

Despite these softer readings, Adams cautioned that fiscal stimulus from pending tax cuts and slower labor force growth due to stricter immigration enforcement could still keep the Fed on hold through year-end. While a rate cut isn’t Comerica’s base case, Adams said, “cooler-than-expected inflation and labor market data do make a federal funds rate cut later this year more plausible.”

9.55am: Stocks lower

US stocks indeed started lower, as predicted.

The Dow Jones dropped 0.4%, while the S&P 500 fell 0.1% and the Nasdaq 0.2%, with the worst effected being the domestically focused Russell 2000 small cap index, down 0.7%.

Boeing is a big drag on the Dow, down 4.4% now. 

Oracle is the top riser in the S&P, up 11% after lifting its revenue guidance due to AI demand. 

8am: Stocks called lower as dollar falls to 3yr low on tariffs, Iran

US stock futures were pointing lower as the dollar slumped to a three-year low, gold inched back towards record highs and Treasury bills attracted demand to send yields lower.  

Wall Street equity futures were lower across the major indexes, led by a 1% fall for the Russell 2000, more focused on domestic small caps, while Dow Jones futures slid 0.7% and the broader S&P 500 and tech-heavy Nasdaq 100 both dropped 0.6% ahead of the opening bell.

The dollar index subsided heavily over the early hours, sinking to a three-year low of 97.8, with the dollar down 0.9% versus the euro to $1.1587, and down 0.55% against the Japanese yen and 0.3% versus the British pound.   

Analysts said it followed President Trump statement that he will impose new unilateral tariff rates within the next two weeks, while this week’s deal with China left tariffs at 55%.

Trump told reporters in Washington last night that: “We’re going to be sending letters out in about a week and a half, two weeks, to countries, telling them what the deal is. At a certain point, we’re just going to send letters out, and I think you understand that, saying ‘this is the deal, you can take it or leave it’.”

More positively, US Treasury Secretary Bessent suggested that they could extend the deadline by 90 more days if they believe “good faith” efforts are being made.

Market analyst Fawad Razaqzada at City Index said: “Just when it looked like the trade uncertainty was coming to an end with the US resuming talks with China and implying several other deals were on the cards, Trump has done it again.”

Whether or not this turn out to be “another so-called TACO trade” – Trump Always Chickens Out – remains to be seen.

“But after a big rally off the April lows and without much progress on the trade front, investors are now asking questions and want to see results to justify holding expensive stocks amid all the trade uncertainty, and that’s before considering other risks that include valuations, bond market troubles, and a potential military conflict between Iran and Israel.”

Rising tension with Iraq caused WTI crude oil to rally to $67.5 a barrel overnight, while gold is higher today and oil has retreated to $66.9 a barrel.

Iran’s defence minister has warned of retaliatory strikes on US military assets in the region should hostilities break out, after Trump expressed growing scepticism over the prospect of a nuclear accord, threatening military action should diplomacy fail.

“Five rounds of talks have been held since April, but with little progress, markets are increasingly factoring in the possibility of a more serious conflict,” said Razakzada. 

In individual stock news, Boeing was down 7.7% premarket after a 787 Dreamliner operated by Air India crashed on a flight to the UK.

CureVac jumped 30% after BioNTech agreed to acquire the biotech in an all-stock deal.

GameStop was down 16.5% premarket after its fundraising proposal the day before.

Voyager Technologies surged after hours on its first day of trading, with shares jumping 82% to give the defence and space technology firm a valuation of roughly $3.5 billion.

VANCOUVER — Telus Corp. has proposed to buy back full ownership of Telus International (Cda) Inc. in a proposal that values the company it spun off in 2021 at about US$940 million.

Under the non-binding indication of interest, Telus says it will pay US$3.40 per share in cash or Telus shares or a combination of both for the shares in the company which operates as Telus Digital that it does not already hold.

Telus International shares, which closed at US$2.96 on the New York Stock Exchange on Wednesday, were up 71 cents US at US$3.67 in trading Thursday. The shares were up 95 cents at C$5.00 in trading on the Toronto Stock Exchange.

The company, which provides IT services and customer service to global clients, went public in 2021 with an initial public offering of US$25 per share.

Telus already owns 57.4 per cent of the company’s outstanding shares including 92.5 per cent of the multiple voting shares and 6.1 per cent of the subordinate voting shares, making its offer worth about US$400 million.

Telus chief executive Darren Entwistle says the proposed deal will yield meaningful benefits for Telus Digital and Telus customers and investors.

This report by The Canadian Press was first published June 12, 2025.

Companies in this story: (TSX:T, TSX:TIXT)

The Canadian Press

Telus Inc. T-T is proposing a more than US$400-million deal to take back control of its affiliate, Telus Digital TIXT-T, which has seen its share price plummet since it went public, locking in major losses as the company considers future spinout plans.

Telus has signed a non-binding indication of interest to acquire all outstanding multiple and subordinate shares of Telus Digital, which offers technology outsourcing, for US$3.40, the company said in a release Thursday morning.

Shares of Telus Digital on the New York Stock Exchange were up 26 per cent in morning trading, to US$3.73. The parent company’s shares rose 0.7 per cent.

Telus Digital’s share price debuted at US$25 after its initial public offer in 2021, but has since declined by more than 90 per cent in the wake of industry-wide pressures on customer-service businesses and the loss of major clients such as Meta Inc.

The offer represents a 15-per-cent premium to the share price before markets opened Thursday, and a 23-per-cent premium over the company’s 30-day volume-weighted average trading price.

The proposed acquisition represents a new cost for Telus, as it aims to pay down its nearly $25-billion in long-term debt, and looks to capitalize on its other business lines. Telus is proposing to pay cash, shares or a combination of both for the multiple and subordinate shares.

The company said that reacquiring its former spinout would allow it to accelerate its artificial-intelligence and software capabilities across all its business lines.

In a note to investors, Bank of Nova Scotia analyst Maher Yaghi called Telus’s bid “the logical thing to do.”

“We believe Telus is serious about this offer. It is possible a sweetener could be required to get this over the finish line, but we also have many investors in TIXT that would likely be happy to move on and see positively, the immediate benefit of a quick liquidity event,” Mr. Yaghi said.

Mr. Yagi said the price offered, if accepted, will require Telus to disburse around $550-million to acquire minority shareholders. However, Telus Digital still owes its parent company cash, meaning that Telus’s net disbursements could be half of that amount after netting out the debt.

The company said any financing that it undertakes in the near term will be designed to be neutral to its balance sheet net debt to EBITDA leverage ratio, as it maintains focus on deleveraging.

Richard Tse, analyst for the National Bank of Canada, said the deal values Telus Digital at about US$2.3-billion, calling that a reasonable valuation when compared with peers.

Tyler Tebbs, head of research company Tebbs Capital, said that the proposal likely leaves Telus ahead financially, given that it raised more than a billion dollars during the 2021 IPO, offloaded some financial risk and is now buying back the company at a steep discount.

While it leaves Telus’s reputation among investors with “a little bit of a black eye,” he said, the onus should be on shareholders who bought in at high prices to understand the risks inherent to the customer-experience sector.

“It was no secret that the space was facing all sorts of disruption,” he said.

The public listing of Telus Digital was celebrated as the first step in chief executive officer Darren Entwistle’s ambitions to spin off two other business lines, Telus Health and Telus Agriculture and Consumer Goods.

Some analysts have previously said that Telus Digital’s poor stock performance could have a dampening effect on investor appetite for the possible monetization of those assets, which Telus has said could come in the form of either the addition of a strategic partner or a public listing.

Mr. Tebbs said that while investors will assess these other divisions on their own merits, investors would likely “do more homework.”

Meanwhile, Mr. Yaghi saw the proposal as a positive step ahead of any such monetization.

“While it is too early to know if this deal will go through or not, putting this whole issue with TIXT behind it would be a good thing for Telus as it gears towards a possible liquidity event for its health care business possibly in 2026-2027,” he said.

Telus currently holds about 57 per cent of Telus Digital shares, and has asked Telus Digital’s board to form a committee of independent directors to evaluate the proposal.

Barclays is acting as exclusive financial adviser to Telus, and Stikeman Elliott LLP and A&O Shearman are acting as legal advisers.

Of the 20 technology companies that went public on the Toronto Stock Exchange during the height of the pandemic in an IPO boom, 12, not including Telus Digital, have since been taken private again, often at below-IPO prices.

With reports from Andrew Willis and Sean Silcoff

Telus Inc. T-T is proposing a more than US$400-million deal to take back control of its affiliate, Telus Digital TIXT-T, which has seen its share price plummet since it went public, locking in major losses as the company considers future spinout plans.

Telus has signed a non-binding indication of interest to acquire all outstanding shares of Telus Digital, which offers technology outsourcing, for US$3.40 for multiple and subordinate shares, the company said in a release Thursday morning.

Shares of Telus Digital on the New York Stock Exchange were up 26 per cent in morning trading, to US$3.73. The parent company’s shares rose 0.7 per cent.

Telus Digital’s share price debuted at US$25 following its initial public offer in 2021, but has since declined by more than 90 per cent following industry-wide pressures on customer service businesses and the loss of major clients such as Meta Inc.

The stock was trading at US$2.96 on the New York Stock Exchange before markets opened. The offer represents a 15-per-cent premium to the share price before markets Thursday, and a 23-per-cent premium over the company’s 30-day volume-weighted average trading price.

The proposed acquisition represents a new cost for Telus, as it aims to pay down its nearly $25-billion in long-term debt, and looks to capitalize on its other business lines. Telus is proposing to pay cash, shares or a combination of both for the multiple and subordinate shares.

The company said that reacquiring its former spinout would allow it to accelerate its artificial intelligence and software capabilities across all its business lines.

In a note to investors, Bank of Nova Scotia analyst Maher Yaghi called Telus’s bid “the logical thing to do.”

“We believe Telus is serious about this offer. It is possible a sweetener could be required to get this over the finish line, but we also have many investors in TIXT that would likely be happy to move on and see positively, the immediate benefit of a quick liquidity event,” Mr. Yaghi said.

Mr. Yagi said the price offered, if accepted, will require Telus to disburse around $550-million to acquire minority shareholders. However, Telus Digital still owes its parent company cash, meaning that Telus’s net disbursements could be half of that amount after netting out the debt.

The company said that any financing that it undertakes in the near term will be designed to be neutral to its balance sheet net debt to EBITDA leverage ratio, as it maintains focus on deleveraging.

Richard Tse, analyst for the National Bank of Canada, said the deal values Telus Digital at about US$2.3-billion, calling that a reasonable valuation when compared to peers.

Tyler Tebbs, head of research company Tebbs Capital, said that the proposal likely leaves Telus ahead financially, given that it raised over a billion dollars during the 2021 IPO, offloaded some financial risk and is now buying back the company at a steep discount.

While it leaves Telus’s reputation among investors with “a little bit of a black eye,” he said, the onus should be on shareholders who bought in at high prices to understand the risks inherent to the customer experience sector.

“It was no secret that the space was facing all sorts of disruption,” he said.

The public listing of Telus Digital was celebrated as the first step in chief executive officer Darren Entwistle’s ambitions to spin off two other business lines, Telus Health and Telus Agriculture and Consumer Goods.

Some analysts have previously said that Telus Digital’s poor stock performance could have a dampening effect on investor appetite for the possible monetization of those assets, which Telus has said could come in the form of either the addition of a strategic partner or a public listing.

Mr. Tebbs said that while investors will assess these other divisions on their own merits, investors would likely “do more homework.”

Meanwhile, Mr. Yaghi saw the proposal as a positive step ahead of any such monetization.

“While it is too early to know if this deal will go through or not, putting this whole issue with TIXT behind it would be a good thing for TELUS as it gears towards a possible liquidity event for its Healthcare business possibly in 2026-2027,” he said.

Telus currently holds about 57 per cent of Telus Digital shares, and has asked Telus Digital’s board to form a committee of independent directors to evaluate the proposal.

Barclays is acting as exclusive financial advisor to Telus, and Stikeman Elliott LLP and A&O Shearman are acting as legal advisors.

More than 20 technology companies went public on the Toronto Stock Exchange during the pandemic in an IPO boom, including Telus Digital. But of those, half have since been taken private again, often at below-IPO prices, and many of the other half have considered doing so.

With reports from Andrew Willis