Canadian stocks are poised for a marginally higher open Friday amid varied cues from the jobs data from both sides of the border. While Canada's unemployment rate unexpectedly edged higher in January, data from the U.S. revealed payrolls expanded by much more than economists had predicted in January.
U.S. stock futures were pointing to a higher open amid encouraging jobs data.
On Thursday, the S&P/TSX Composite Index extended gains for a third session, adding 35.82 points or 0.29 percent to 12, 553.48.
The price of crude oil was supported by data from China that revealed services sector expanded at a steady pace in January. The HSBC China Services PMI was firm at 52.5 for a third month in January, signaling steady but sluggish expansion. Crude for March was up $0.92 to $97.28 a barrel
The price of gold was slipping Friday morning, with gold for April easing $4.80 to $1,754.50 an ounce.
In corporate news from Canada, interactive technology products company SMART Technologies (SMA.TO) announced that its third-quarter GAAP net income was $10.9 million or $0.09 per share down from $12.5 million or $0.10 per share in the prior-year period. However, on an adjusted basis, net income was $16.7 million or $0.14 per share, up from $15.9 million or $0.13 per share in the same period last year. Analysts were expecting the company to report earnings of $0.13 per share this quarter.
Paper products company Domtar Corp. (UFS.TO) reported a significant drop in its fourth-quarter net earnings to $61 million or $1.63 per share from $325 million or $7.59 per share last year. Excluding items, net earnings were $93 million, lower than $103 million, while adjusted earnings per share rose to $2.49 from $2.41 a year ago. Analysts were expecting the company to report earnings of $2.24 per share this quarter.
Metal mining company Magma Metals (MMW.TO) announced that Panoramic Resources Ltd. (PAN.AX) has made an unsolicited proposal to acquire all of the Magma shares it does not currently own, in exchange of 2 Panoramic shares for every 17 Magma shares held.
In economic news Statistics Canada said the unemployment rate edged up 0.1 percentage points to 7.6 percent as more people searched for work. 2,300 jobs were added across the nation last month. On an annual basis, the number of full-time workers was up 1.2 percent, but the number of part-time workers declined 1.2 percent.
From south of the border, the U.S. Labor Department said the economy added 243,000 jobs in January, beating consensus estimates for a 135,000 additions, Further, the unemployment rate came in at 8.3 percent. Economists were looking for the jobless rate to hold steady at 8.5 percent.
Elsewhere, euro zone retail sales fell 0.4 percent month-on month in December, Eurostat reported. Economists were expecting turnover to expand 0.3 percent. In 2011, the average volume of retail trade index fell by 0.6 percent. On a yearly basis, retail sales decreased 1.6 percent in December, following November's revised 1.5 percent drop. The decline also exceeded the 1.3 percent fall expected by economists.
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