Canadian stocks ended higher Friday, on investor hopes of further economic stimulus from central banks globally with broader market gains offsetting declines in mining stocks. Nevertheless, eurozone concerns persisted with uncertainties over Greece's request for more time to bring in austerity measures.
Fresh hopes for further monetary stimulus gained ground after reports that the Federal Reserve Chief Ben Bernanke has indicated scope for more quantitative easing.
In Europe, the Greek impasse continued with the German Chancellor Angela Merkel giving no indication if her country would accept Greece's request for more time to implement austerity measures after her meeting with Prime Minister Antonis Samaras. The Greek prime minister is scheduled to meet French President Francois Hollande on Saturday.
The S&P/TSX Composite Index closed Friday at 12,082.23, up 19.72 points or 0.16 percent. The Index touched an intraday high of 12,130.47 and a low of 12,036.51.
The Financial Index gained 0.36 percent with Royal Bank of Canada (RY.TO) moving up 0.83 percent, Bank of Nova Scotia (BNS.TO) down 0.08 percent, and Toronto-Dominion Bank (TD.TO) improving 0.34 percent. Manulife Financial Corp. (MFC.TO) gained 0.92 percent.
The Energy Index gained 0.41 percent with U.S. crude oil futures for October delivery dropping $0.12 or 1.0 percent to close at $96.15 a barrel Friday on the NYMEX.
Among energy stocks, Talisman Energy Inc. (TLM.TO) gained 2.19 percent, Canadian Natural Resources Limited (CNQ.TO) moved up 0.68 percent, and Suncor Energy Inc. (SU.TO) was up 0.61 percent. Encana Corp. (ECA.TO) shed 0.56 percent.
The Metals & Mining Index declined 0.91 percent, with Lundin Mining Corp. (LUN.TO) down 1.49 percent and First Quantum Minerals Ltd. (FM.TO) down 0.77 percent. Osisko Mining Corp. (OSK.TO) gained 0.31 percent, while Teck Resources Limited (TCK.B.TO) was down 0.41 percent.
The Global Gold Index slipped 0.30 percent, with gold futures for December delivery gained $0.10 to close at $1,672.90 an ounce Friday on the NYMEX. The Capped Materials Index shed 0.34 percent.
Among gold stocks, Barrick Gold (ABX.TO) dropped 1.14 percent, Yamana Gold Inc. (YRI.TO) was up 0.30 percent, Eldorado Gold Corp. (ELD.TO) dropped 0.54 percent, and Kinross Gold (K.TO) gathered 1.71 percent.
Among heavyweights, fertilizer maker Potash Corporation of Saskatchewan Inc. (POT.TO) gained 0.40 percent, while transportation systems maker Bombardier Inc. (BBD.A.TO, BBD.B.TO) slipped 1.40 percent.
The Information Technology Index dropped 0.86 percent, with smartphone maker Research In Motion (RIM.TO) shedding 2.13 percent.
In economic news from the U.S., the Commerce Department revealed new orders for durable goods in July came in at $230.7 billion, a 4.2 percent increase from June levels. The increase was much higher than most economists had expected, with most forecasting growth of 1.9 percent, much closer to the 1.6 percent growth posted in July. Excluding transportation orders, however, durable goods orders fell 0.4 percent in July, with revised figures for June showing a 2.2 percent decline in non-transportation durable goods orders - lower than the 1.1 percent drop initially reported.
From Europe, the U.K. economy contracted 0.5 percent in the second quarter, revised upwards by 0.2 percentage points from a drop of 0.7 percent published on July 25, data from the Office for National Statistics showed. Nonetheless, the sequential decline was bigger than the 0.3 percent drop registered in the first quarter. The revision largely reflects upward revisions to construction and production output. Output of production industries slipped 0.9 percent, revised from the 1.3 percent drop estimated initially.
by RTT Staff Writer
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