The Toronto stock market advanced Monday, pushed by strong gains by the metals and mining sector amid positive news from Asia's two largest economies.
The S&P/TSX composite index ended Monday up 33.72 points to 12,854.64
The Canadian dollar moved higher 0.38 cents to 96.40 cents U.S.
Meanwhile, the Toronto stock market got a boost from BlackBerry's stock after shares jumped more than 6% following an unconfirmed report that Canadian investor Prem Watsa was close to buying the troubled smartphone maker. Its shares were up 68 cents to $11.97.
In corporate news, Ares Management and the Canada Pension Plan Investment Board confirmed that they plan to buy luxury retailer Neiman Marcus Group for $6 billion U.S.
Shares in Gabriel Resources Ltd. plummeted 53.7%, or 79 cents, to 68 cents, after disclosing that it has put in an urgent request for the Romanian government to clarify whether it plans to block debate on draft legislation affecting its Rosia Montana gold project.
Gabriel Resources has struggled for several years to overcome opposition to the project, which opponents say poses too much of an environmental risk because it uses cyanide in the extraction process.
Meanwhile, uranium producer Cameco Corp. will miss the 2013 production target for its Cigar Lake mining project in Saskatchewan due to delays in starting up ore production and mill processing. The major new mine has been delayed several times in past years due to flooding and other technical issues.
Shares in Cameco fell 13 cents to $20.40.
The metals and mining led the charge among the many subgroups advancing. Shares in Teck Resources rose 5.3%, or $1.48, to $29.32.
Gold shares did not fare so well, as Barrick Gold took on nine cents to $19.97, and Kinross Gold shed five cents to $5.71.
Stocks in Japan jumped nearly 2.5%, and the yen fell after Tokyo was chosen to host the 2020 Summer Olympics and a revised estimate showed the economy grew faster than previously reported in the second quarter.
The Olympics are expected to provide a welcome boost, much of it in the construction sector, where the government is already spending heavily as part of its stimulus program.
Chinese stocks rose after data showed that the country's exports accelerated while inflation edged lower last month, raising hopes that China is on the path to recovery from a slowdown.
It's the latest sign that China is stabilizing after growth fell to a two-decade low of 7.5% in the second quarter.
On the domestic economic calendar, Statistics Canada reported this morning that building permits improved 20.7% in July to $8 billion. The market call was for a hike of 3.5%.
The total value of building permits continued to trend upward on the strength of six gains in seven months.
ON BAYSTREET
The TSX Venture Exchange dipped 2.98 points to 952.94
All but two of the 14 Toronto subgroups were higher, led by metals and mining stocks, up 2.5%, while global base metals advanced 2.2%, and information technology issues, jumped 1.2%.
The two laggards were gold, down 1.1%, and utilities, off 0.5%.
ON WALLSTREET
Stocks moved higher Monday as concerns about what might transpire in Syria have ebbed -- for the time being at least.
The Dow Jones Industrials soared 140.62 points to close Monday at 15,063.10. The S&P 500 index gained 15.99 points to 1,671.16. The NASDAQ gained 46.17 points to 3,706.18
The market, which had been trading higher all day, rallied further after U.S. Secretary of State John Kerry made comments that appeared to open the door to a diplomatic alternative in Syria instead of military strikes.
U.S. lawmakers returned from recess Monday and will vote on whether to authorize limited military strikes against the Middle Eastern nation.
For more than a week, President Obama has been trying to rally support for military action from members of Congress. This has resulted in more volatility in stocks and oil prices as traders worry about the possible knock-on effects of a strike.
All three indices are up between 14% and 21% for the year. U.S. stocks managed to eke out gains last week -- despite a weaker-than-expected jobs report Friday.
Smithfield Foods and China's Shuanghui International announced after the closing bell Friday that U.S. regulators had cleared Shuanghui's proposed acquisition of the American meat processor.
Dell shares rose slightly after activist hedge fund manager Carl Icahn said he was giving up his fight for control of the computer maker. That could make it easier for founder Michael Dell and investment firm Silver Lake to take the company private.
Speaking of BlackBerry, shares rose on reports that its largest investor could be considering a buyout of the struggling smartphone company.
Facebook continues to move higher and its shares are getting closer to their all-time high of $45 U.S.
Apple is expected to unveil new iPhones during a Tuesday event. The stock was up more than 1.5% in midday trading.
Shares of Delta rose more than 6%, following news that the airline would join the S&P 500 after the close of trading Tuesday. It will replace BMC Software, which is being taken private.
Prices for the 10-year U.S. Treasury gained, lowering yields to 2.90% from Friday’s 2.94%. Treasury prices and yields move in opposite directions.
Oil prices dipped $1.57 to $108.96 U.S. a barrel.
Gold prices gained 30 cents at $1,386.80 U.S. an ounce.
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