Canadian stocks were hovering in the green Friday morning as traders speculate for further monetary stimulus measures by central banks around the world. European shares were in the green amid hopes that European central banks will be coordinating to stabilize financial markets in the event Greece votes to leave the euro zone after this weekend elections. Meanwhile, the Bank of England said it remained committed to pump in extra cash into the U.K. banking system.
The S&P/TSX Composite Index gained 68.46 points or 0.60 percent to 11534.88, a day after snapping its two-session winning streak.
The Diversified Materials Index rose over 1 percent, with First Quantum Minerals (FM.TO) and Teck Resources (TCK_B.TO) adding around 2 percent each.
The price of crude oil was ticking higher Friday morning amid hopes of stimulus measures by central banks. Moreover, the OPEC in its yesterday meeting decided to keep its output limit at 30 million barrels a day. Crude for July gained $0.23 to $84.14 a barrel.
In the oil patch, Bonavista Energy (BNP.TO) rose close to 4 percent and Encana Corp. (ECA.TO) added nearly 3 percent.
Bombardier Inc.'s (BBD_A.TO, BBD.B_TO) rail systems division, Bombardier Transportation signed a contract with the San Francisco Bay Area Rapid Transit District or BART for the supply of 260 new rail cars for approximately $631 million. The stock was up nearly 3 percent.
Meanwhile, gold stocks were mixed despite firm bullion prices. The price of gold was steady near its two-week high Friday morning as traders focus on the weekend Greek elections. Gold for August gained $11.50 to $1,631.10 an ounce.
Among gold plays, Barrick Gold (ABX.TO) added nearly 1 percent. West Africa focused gold miner Aberdeen International Inc. (AAB.TO) gathered over 1 percent after posting a much improved first quarter net earnings of $15.9 million or $0.18 per share compared to $3.9 million or $0.04 per share in the year-ago quarter.
Allied Nevada Gold (ANV.TO) and Goldcorp. (G.TO) were down nearly 1 percent each. Detour Gold (DGC.TO) and Seabridge Gold (SEA.TO) were down over 2 percent each.
International pharmaceutical company Valeant Pharmaceuticals International Inc. (VRX.TO) shed nearly 2 percent after it said it would acquire OraPharma, a specialty oral health company, from Water Street Healthcare Partners, a private equity firm for a total consideration of around $312 million and up to $114 million in potential contingent payments based on certain milestones.
In economic news, Statistics Canada said manufacturing sales unexpectedly fell in April, signaling the nation's factory sector is feeling the effects of a global slowdown brought on by problems in Europe. Manufacturing sales fell 0.8 percent in April to $49.1 billion.
From the U.S., the Federal Reserve Bank of New York said its general business conditions index fell to 2.3 in June from 17.1 in May, although a positive reading still indicates growth in regional manufacturing activity. Economists had expected the index to show a much more modest decrease to a reading of 13.8.
Elsewhere, the euro area trade surplus fell to EUR 5.2 billion in April from EUR 7.5 billion in March, Eurostat said. In April 2011, the trade balance showed a deficit of EUR 4.5 billion. Meanwhile, seasonally adjusted trade surplus increased to EUR 6.2 billion in April from EUR 3.7 billion in the previous month.
Meanwhile, data from the Office for National Statistics showed that the U.K. visible trade deficit increased to a seasonally adjusted GBP 10.1 billion in April from GBP 8.7 billion in March. The deficit was well above the consensus forecast of GBP 8.5 billion.
by RTT Staff Writer
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