Stocks in Canada’s biggest centre rose to a one-week high on Friday, led by resource stocks as oil and gold prices climbed and data showed the country's economy got off to a stronger-than-expected start in the third quarter.
The S&P/TSX Composite gathered 14.14 points early Friday at 14,768.69
The Canadian dollar gathered 0.22 cents at 76.28 cents U.S.
Sources said Royal Bank of Canada is cutting 15 investment banking jobs in England amid a slowdown in activity in the region.
RBC shares took on 37 cents to $81.60.
Tundra Energy Marketing, a privately held Canadian energy infrastructure company, agreed to buy a regional pipeline system from an affiliate of Enbridge Income Fund for $1.075 billion.
Enbridge Income units moved higher 46 cents, or 1.4%, to $34.23.
Toronto-Dominion Bank wants to increase its corporate lending in the United States by acquiring loans from other foreign banks retreating from the country, one of its top executives said. TD shares gained seven cents to $58.35.
Citigroup raised the rating on EnCana Corp to buy. EnCana shares took on 21 cents, or 1.6%, to $13.50.
Deutsche Bank raised the target price on Magna International to $57 from $55. Magna shares picked up 26 cents to $55.28.
Imperial Capital raised the price target on BlackBerry to $8.50 from $7 with an in-line rating. BlackBerry shares picked up two cents to $10.46.
On the economic slate, Statistics Canada reported that gross domestic product grew 0.5% in July, led by higher output in the mining, quarrying, and oil and gas extraction sector. The rise in July followed a 0.6% increase in June, which had essentially offset an equivalent decline in May.
The agency’s industrial product price index declined 0.5% in August, led by lower prices for meat, fish, and dairy products, and energy and petroleum products.
The Raw Materials Price Index fell 0.7%, as a result of lower prices for animals and animal products.
ON BAY STREET
The TSX Venture Exchange poked higher 4.06 points at 803.15
Six of the 12 TSX subgroups were down to begin the day, as health-care, energy and information each demurred 0.2%.
Gold led the five subgroups gaining ground, brightening 0.6%, while industrials and consumer discretionaries each gained 0.2%.
Utilities were unchanged in the first hour.
ON WALL STREET
U.S. equities rose sharply on Friday as investors kept a close eye on Deutsche Bank shares following a fall that triggered a broad-based selloff.
The Dow Jones Industrials hiked 126.35 points to 18,269.80, with Procter & Gamble contributing the most gains
The S&P 500 regained 9.78 points to 2,160.91, with consumer staples leading advancers.
The NASDAQ Composite recovered 16.4 points to 5,285.55, as Apple gained approximately 0.3%
Friday also marks the end of the third quarter. Entering Friday trading, the S&P was on track for a gain of 2.5%, and the Dow looked on target for a gain of 1.2%. The NASDAQ, meanwhile, was on track to post a quarterly gain of 8.8%
Deutsche's U.S.-listed shares hit an all-time low on Thursday after Bloomberg reported that approximately 10 hedge funds were reducing their exposure to the bank, whose German-listed shares hit an all-time low overnight. On Friday, the U.S.-listed shares rose more than 7%, recovering all of their losses from Thursday.
In economic news, personal spending remained flat in August, while income rose 0.2%. The core PCE, the Federal Reserve's preferred inflation measure, rose 0.2%.
Other data released Friday included the final read on September consumer sentiment and the September Chicago Purchasing Managers Index, both of which beat expectations.
Prices for the 10-year Treasury lost ground, raising yields to 1.57% from Thursday’s 1.56%. Treasury prices and yields move in opposite directions.
Oil prices added 17 cents to $48.00 U.S. a barrel
Gold prices brightened 50 cents at $1,326.50 U.S. an ounce.
