Stock markets had a muted reaction to U.S. employment data that showed the pace of layoffs slowed radically during May.
The S&P/TSX Composite Index picked up 86.48 points to end the day and week at 10,563.72.
The Toronto market's energy sector was ahead, as Suncor rose 97 cents to $38.47 a day after shareholders approved a merger between the company and Petro-Canada, which advanced $1.35 to $48.50.
Canadian Superior Energy Inc. a Calgary-based natural gas producer which has been restructuring under bankruptcy protection, said it has been granted an extension to July 24 under the Companies' Creditors Arrangement Act. The company recently struck a deal to sell its energy assets in Trinidad to a British company. Its shares rose two cents to 91 cents.
The base metals sector moved higher as investors took in news that Rio Tinto PLC scrapped its $19.5-billion U.S. deal with China's Chinalco, opting instead to raise $15.2 billion in a share sale and set up a joint venture with rival BHP Billiton.
Copper prices in New York lost 1.7 cents to $2.284 U.S. a pound. Copper rose 3.9% this week. Teck Resources rose 63 cents to $19.63.
The gold sector was the major decliner on the TSX, as Barrick Gold Corp. fell 89 cents to $40.41.
Ventana Gold Corp. surged $1.11 or 32.2% to an all-time high of $4.56 in a second consecutive day of unusually heavy trading of its shares, following the release of promising drill results.
The Toronto tech sector was ahead with Research In Motion Ltd. ahead $2.41 to $92.45.
Reko International Group Inc. reported third-quarter net income of about $200,000 or $0.05 per share, compared to a net loss of $400,000 or $0.05 per share in the same quarter of the prior year. Its shares leaped 15 cents - or 16.5% - to $1.06.
Pacific & Western Credit Corp. reported a net loss for the second quarter of $2.2 million or $0.16 per share, in comparison with a net loss of $600,000 or $0.05 per share in the prior-year quarter. Pacific & Western shares inched ahead two cents to $3.07.
Economically speaking, Canadian employment decreased by 42,000 in May, according to data released Friday by Statistics Canada. The unemployment rate rose by 0.4 percentage points to 8.4%, the highest rate in 11 years.
Economists were looking for unemployment to rise to 8.3% after coming in at 8% in April and for employment to fall 36,500 jobs in May.
In corporate news, Magna International's deal with Opel may run into trouble because of Opel's pension obligations, according to reports.
The Canadian dollar slid 1.73 cents to 89.45 cents U.S.
ON BAYSTREET
Of the 13 TSX subgroups, 11 were in positive territory, led by metals and mining, ahead 2.9%, information technology stocks jumping 2.6%, and industrials were up 1.7%.
The two laggards were gold, down 3.1% and materials, off 0.8%.
The TSX Venture Exchange regained 4.83 points to 1,137.99 while the Nasdaq Canada Index went higher by 2.04 points to 788.84.
ON WALLSTREET
In New York, stocks struggled Friday afternoon at the end of another up week for Wall Street as investors welcomed a report showing that the pace of job losses is starting to slow, but showed caution after the market's recent advance.
The Dow Jones Industrials average tailed off its highs by the end of the day, but still finished 12.89 points in the black to 8,763.13.
The S&P 500 index retreated 2.37 points to 940.09, while the Nasdaq Composite Index slid 0.60 points, to 1,849.42.
The Dow has now gained in 11 of the last 13 weeks, adding 32%. That's the Dow's best 13-week run since the period ending November 1982, according to Dow Jones market data.
On the economic front, the U.S. Labor Department reported that payrolls shed 345,000 jobs in May.
This was considerably lower than anticipated. Economists surveyed by Briefing.com forecast that employers cut another 520,000 jobs.
Also, the government said the unemployment rate rose to 9.4%, a 25-year high. But this didn't seem to carry as much clout among investors as the job loss report.
A U.S. federal court will hear on Friday arguments from Indiana pension funds appealing the sale of Chrysler's assets to Fiat.
Experts remain divided on whether the worst is over for the labor market. In particular, the bankruptcy filings of Chrysler and General Motors could result in more job losses.
GM will sell its Saturn brand to car dealership operator Penske Automotive Group.
Earlier this week, GM sold its Hummer line to China's Sichuan Tengzhong, a machinery company. The sales are part of GM's plan to sell its four "non-core" U.S. brands, including Pontiac and Saab.
Separately, GM will reportedly help finance private equity firm Platinum Equity's purchase of bankrupt auto parts supplier Delphi Corp.
Friday is GM's last day as a Dow component. On Monday, it will be swapped with tech leader Cisco Systems.
The Federal Deposit Insurance Corp. is reportedly looking to shake up Citi's management, putting CEO Vikram Pandit's job at risk. The financial firm has received billions in government aid and was also recently told to raise $5.5 billion U.S. as a result of the government "stress tests."
Friday is Citi's last day as a Dow component. On Monday it will be swapped with insurance firm Travelers.
Treasury prices tumbled, raising the yield on the benchmark 10-year note to 3.86% from 3.71% Tuesday. Treasury prices and yields move in opposite directions.
U.S. light crude oil for July delivery fell 37 cents to settle at $68.44 U.S. a barrel on the New York Mercantile Exchange.
COMEX gold for August delivery slipped $19.70 to settle at $962.60 U.S. an ounce
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