Markets in Toronto perked Thursday on strong performance in the base metals and health-care sector,s on the eve of earnings season.
The S&P/TSX composite index approached noon Thursday up 52.46 points, to 12,264.88
The Canadian dollar grew 0.36 cents to 102.23 cents U.S.
Base metals spiked on the strength of Thompson Creek Metals, which zoomed 4.1%, and First Quantum Minerals, up 2.6%.
Health-care issues were also vibrant, with Valeant Pharmaceuticals soaring 2.1%.
A senior official for Enbridge Inc. said the company needs to do a better job of communicating to most British Columbians and other Canadians the merits of its contentious Northern Gateway oil pipeline planned for the westernmost province. Enbridge stock dropped 26 cents to $39.20
Oil and gas technology whiz Gasfrac Energy Services Inc. says it expected its third-quarter revenue to be around the $40-million mark, far below analysts' expectations, and said it had cut jobs to reduce costs. Analysts had expected revenue of $58 million. Shares dropped nine cents to $1.69.
In the economic docket, Statistics Canada reported this morning that our merchandise imports fell 3.1% and exports edged down 0.1% in August, meaning Canada's trade deficit with the world narrowed to $1.3 billion in August from $2.5 billion in July.
Elsewhere, the agency reported that its new housing price Index rose 0.2% in August, after a July boost of 0.1%.
ON BAYSTREET
The TSX Venture Exchange was positive 4.25 points to 1,306.40
All 14 Toronto subgroups were higher at noon, as metals and mining gained 1.4%, while global base metals and health-care issues spiked 1.3% each.
ON WALLSTREET
Stocks advanced Thursday, with the S&P 500 and Nasdaq snapping a four-day losing streak, as investors welcomed an unexpected drop in the number of people filing first-time unemployment claims.
The Dow Jones Industrial average gained 30.68 points to 13,375.70
The S&P 500 acquired 4.76 points to 1,437.32, while the tech-rich Nasdaq rose 8.45 points to 3,060.23.
Financial stocks were the stars, as Bank of America and JPMorgan Chase drove the Dow higher.
Adding to the morning's positive trading was a report that Japan’s Softbank in talks to acquire telecom operator Sprint Nextel.
Sprint shares surged 13% following a Wall Street Journal report that Softbank is nearing a deal to buy a controlling stake in the third largest U.S. carrier for about $12.8 billion U.S. As of August, Softbank's mobile arm has more than 30 million subscribers. Sprint networking partner Clearwire soared 35% on reports that Softbank may want to buy it as well.
Earlier this week, there had been speculation that Sprint may make a play for rival MetroPCs, which last week agreed to merge with T-Mobile USA operator Deutsche Telekom.
Third-quarter earnings season is underway, but only a handful of companies reported Thursday, including hardware supply store
Fastenal and Safeway. Fastenal shares jumped as the company met earnings expectations, while Safeway shares declined after the company posted weak same-store sales.
Shares of Shutterstock jumped 30% in their market debut. The online stock photography company also priced its shares above the expected range in its Initial Public Offering.
Speaking of things economic, the U.S. Labor Department reported that the number of jobless claims fell 30,000 to 339,000 last week, hitting the lowest level since February 2008.
Also, the U.S. Census Bureau said the trade deficit fell slightly to $44.2 billion from July to August. The U.S. Labor Department also reported import prices rose 1.1% in September while export prices rose 0.8%.
The price of the benchmark 10-year U.S. Treasury lost strength, pushing the yield up to 1.71% from 1.69% late Tuesday. Treasury prices and yields move in opposite directions.
Oil prices added $1.30 to $92.55 U.S. a barrel.
Gold prices rose $7.90 to $1,773 U.S. an ounce.
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