Markets in Toronto doggedly held onto gains by midday Friday, as materials and energy stocks slipped, offset by small gains for banking and industrial stocks after data showed surprisingly strong economic growth in July.
The S&P/TSX Composite stayed positive 25.51 at 14,780.06
The Canadian dollar gathered 0.11 cents at 76.17 cents U.S.
The index is on track for an almost 5% gain in the third quarter, and is close to reach its highest level in more than a year.
The energy group retreated, although pipeline company Enbridge Inc advanced 1.3% to $58.44.
The company, along with Enbridge Income Fund Holdings Inc, said after the close on Thursday that it would sell a regional pipeline system for $1.075 billion
Bombardier Inc was also among the most influential movers, up 3.6% to $1.74 after announcing it would supply 665 trains to a British rail operator.
Barrick Gold Corp shares were little changed after the miner said it does not expect an ongoing suspension of its operations at the Veladero mine in Argentina to affect its 2016 consolidated gold production.
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 stayed ahead 1.18 points at 800.27
The 12 TSX subgroups were evenly split between gainers and losers, with health-care picked up 0.8%, consumer discretionaries, up 0.7%, and industrials advanced 0.6%.
The half-dozen laggards were weighed most by materials, off 0.5%, while utilities and gold each lost 0.2%.
ON WALL STREET
U.S. equities rose sharply on Friday as investors observed Deutsche Bank shares following a fall that triggered a broad-based selloff.
The Dow Jones Industrials hiked 167.61 points to 18,311.06, with Wal-Mart leading all components higher.
The S&P 500 gained 17.42 points to 2,168.55, with financials leading nine sectors higher and utilities and real estate the only laggards.
The NASDAQ Composite jumped 43.76 points to 5,312.91, as Apple gained approximately 0.6%
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.The bank's German-listed shares hit an all-time low overnight.
On Friday, the U.S.-listed shares rose more than 12%, recovering all of their losses from Thursday and were on pace for their best day since 2011. The stock began extending gains after AFP reported that the bank may be near a settlement with the U.S. Department of Justice.
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%
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 1.6% from Thursday’s 1.56%. Treasury prices and yields move in opposite directions.
Oil prices added 16 cents to $47.99 U.S. a barrel
Gold prices dulled $2.70 at $1,323.30 U.S. an ounce.
