Stocks on Bay Street surged today -- led by a jump in gold stocks -- as traders took in a fresh batch of corporate earnings, oil and metals prices gained and the polls opened for the U.S. presidential election.
The S&P/TSX composite index gained 395.32 points to 10,116.58.
In corporate news -- TMX Group Inc. is cutting 10 percent of its workforce -- 85 people -- as the stock exchange operator's integration of the Montreal derivatives market continues.
Gabriel Resources Ltd. reported a quarterly loss of $2.8 million, as its Rosia Montana gold project remains entangled in politics and regulation. The company is hopeful about a new Romanian government after elections Nov. 30.
Quadra Mining said on Tuesday its third-quarter profit fell 59 percent as weaker copper prices eroded revenue and prompted the Canadian producer to halt its two development projects and suspend production forecasts beyond 2008. Net income was $20.1 million, or 30 cents a share, down from $48.8 million, or 86 cents a share, in the year-before period.
On the data front -- U.S. and foreign businesses sharply cut back their demand for capital equipment for the second straight month in September, the Commerce Department reported Tuesday. Factory orders fell 2.5 percent in September, much weaker than the 0.2 percent fall expected by economists.
The Canadian dollar, meanwhile, is trading up 2.14 cent at 86.86 cents US.
BAYSTREET
Eleven of the TSX sub-groups traded higher today -- gold issues rose 12.45 percent followed by a 8.87 percent gain in mining issues and a 6.28 percent rise in energy stocks.
COMEX gold for December delivery climbed $16.70 to $743.50 US an ounce.
On the downside -- utility stocks shed 0.86 percent and health-care issues were down 0.16 percent.
Meanwhile, the TSX Venture Exchange moved up 39.68 points to 975.27 while NASDAQ Canada stocks were ahead 25.69 points at 552.70.
ON WALLSTREET
U.S. stocks rallied Tuesday as millions of Americans cast ballots to determine whether Republican John McCain or Democrat Barack Obama wins the presidency, with polls favoring the latter to replace George W. Bush in the White House.
The Dow Jones Industrial Average gained 305.45 points, or 3.3 percent, to 9625.28, and the S&P 500 was up 39.45 points, or 4.1 percent, to 1005.75. The Nasdaq tacked on 53.79 points, or 3.1 percent, to 1780.12.
A series of solid corporate earnings results were bolstering investor enthusiasm. Following Monday's close, credit-card company MasterCard took a net loss on charges related to its settlement of a legal scuffle with Discover Financial Services. Excluding the charge, however, MasterCard's earnings trumped the Street's forecasts.
Energy company Anadarko Petroleum reported that third-quarter profit climbed year over year and beat analyst estimates.
In the technology sector, analysts say a revised search deal with Google Inc. will likely limit the upside for Yahoo Inc. and could push the Web portal back to considering a merger with Microsoft Corp.
Longer-dated U.S. Treasury securities were rising in price. The 10-year was adding 1-14/32 to yield 3.74 percent, and the 30-year was gaining 1-31/32, yielding 4.21 percent. The American dollar was rising vs. the yen but declining rapidly against the euro and pound.
Oil futures climbed sharply to trade above $70 a barrel, with the contract for December delivery rising $6.62, or 10.4 percent, to finish at $70.53 a barrel.
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