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Canadian Stocks Up In Positive Territory On Jobs Data, Trade Hopes

The Canadian stock market opened on a steady note Friday morning and was holding in positive territory around noon thanks to sustained buying at several counters in energy and financial sections.

The mood was positive thanks to continued optimism the U.S.-China trade negotiations after U.S. President Donald Trump tweeted, "Good Things are happening at China Trade Talk Meeting. Warmer feelings than in recent past, more like the Old Days." He further wrote that he will be meeting with the Vice Premier today.

Investors also reacted positively to data showing the Canadian economy added more jobs than forecast in September, while the jobless rate fell.

The benchmark S&P/TSX Composite Index, which rose to 16,516.71, was up 34.23 points, or 0.21%, at 16,456.91, a little after noon.

In the energy section, Tourmaline Oil Corp (TOU.TO) soared more than 12% after the company announced the formation of Topaz Energy Corp., a new private royalty and infrastructure energy company. Tourmaline will sell to Topaz: a royalty interest on Tourmaline lands, a non-operated interest in two of Tourmaline's existing 19 natural gas processing plants, and a contracted interest in a portion of Tourmaline's current third-party revenue for total cash and share consideration of $775 million.

Cenovus Energy (CVE.TO) gained 3.6%. MEG Energy Corp (MEG.TO), Husky Energy (HSE.TO), Crescent Point Energy (CPG.TO), Vermilion Energy (VET.TO), Whitecap Resources (WCP.TO), Imperial Oil (IMO.TO) and Canadian Natural Resources (CNQ.TO) gained 1.3 to 3%.

Among the stocks in the Financials Index, CDN Western Bank (CWB.TO) gained 3.2%. Manulife Financial (MFC.TO), Power Financial Corp (PWF.TO), Laurentian Bank (LB.TO), Bank of Montreal (BMO.TO), Onex Corp (ONEX.TO), Toronto-Dominion Bank (TD.TO), National Bank of Canada (NA.TO) and Sun Life Financial (SLF.TO) were up 1 to 2.3%.

Data from Statistics Canada showed that employment rose by 53,700 jobs in September compared to economist estimates for an increase of about 5,000 jobs.

That follows an increase of 81,100 jobs in August.

The unemployment rate fell to 5.5% in September from 5.7% in August. Economists had expected the unemployment rate to remain unchanged.

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