Canada's main stock index opened higher on Friday as energy shares got a boost from crude prices, which rose on hopes that the United States and China could resolve their ongoing trade dispute.
The S&P/TSX Composite Index began Friday 44.33 points to 16,045.19
The Canadian dollar added 0.2 cents at 75.81 cents U.S.
The Globe and Mail reported Friday morning that Barrick Gold is considering a hostile bid for Newmont Mining for about $19 billion in stock, in what would potentially be one of the largest-ever mining deals.
Barrick shares got bruised 41 cents, or 2.3%, to $17.14.
Royal Bank of Canada reported a 7% rise in earnings in the first quarter, with growth in personal and commercial banking partially offset by lower earnings at its capital markets division.
RBC shares dipped 93 cents to $101.34.
Magna International beat analysts' estimates for quarterly profit as the auto parts maker assembled more vehicles, benefiting from new launches by car makers Jaguar Land Rover and Daimler AG.
Magna shares leaped $2.75, or 4%, to $72.23.
CIBC cut the rating on Altus Group to underperform from neutral. Altus dove $2.80, or 10.9%, to $22.83.
Canaccord Genuity cut the price target on Finning International to $29.00 from $33.00. Shares in Finning plummeted $1.53, or 6.2%, to $23.26.
CIBC raised the price target on Loblaw Companies to $76.00 from $70.00. The grocery giant’s shares lost seven cents to $65.43.
On the economic calendar, Statistics Canada reported retail sales as edged down 0.1% to $50.4 billion in December. Lower sales at gasoline stations were partly offset by higher sales at motor vehicle and parts dealers. Excluding gasoline stations, retail sales increased 0.4%
ON BAYSTREET
The TSX Venture Exchange poked up 0.16 points to 621.77
All but three of the 12 TSX subgroups were higher in the first hour, as energy sprinted 1.3%, information technology clicked 1% higher, and consumer staples gained 0.8%
The three laggards were gold, down 0.4%, while utilities and industrials each stepped back 0.1%.
ON WALLSTREET
Stocks rose on Friday as another round of trade talks between the U.S. and China wrapped up with investors increasingly more hopeful a deal will be struck.
The Dow Jones Industrials regained 114.33 points to 25,964.96, as Intel outperformed.
The S&P 500 recovered 9.47 points to 2,784.35, led by gains in the energy and tech sectors.
The NASDAQ Composite recouped 31.81 points to 7,491.52,
The Dow and NASDAQ were on pace to extend their weekly winning streaks to nine. The S&P 500 was also on track to post a weekly gain.
Intel shares rose more than 2.5% on Friday after Morgan Stanley upgraded the stock to overweight from equal weight, noting Intel could get a boost now that Bob Swan is the full-time CEO.
Citigroup rose 1% after Jefferies upgraded the stock to buy from hold, citing potential revenue growth for the company and the benefits of its growing Latin America business.
President Donald Trump is scheduled to meet with Chinese Vice Premier Liu He later on Friday. The meeting comes after a U.S. delegation met with Chinese President Xi Jinping last week.
Optimism has risen over the chances of both countries securing a deal to end their protracted trade war, but some experts say the most difficult part is yet to come as high level talks continue into Friday.
Meanwhile, trade tensions between the U.S. and Europe are increasing. The European Union is preparing to target heavy machines made by U.S. companies like Caterpillar if the U.S. slaps tariffs on cars made in the E.U.. Shares of Caterpillar dipped before the bell on the report, but traded slightly higher after the open.
Prices for the benchmark 10-year U.S. Treasury gained ground, lowering yields to 2.66% from Thursday’s 2.69%. Treasury prices and yields move in opposite directions.
Oil prices moved higher 67 cents to $57.63 U.S. a barrel.
Gold prices grew $3.80 to $1,331.60 U.S. an ounce.
