Markets in Canada’s largest centre gained strength on Thursday in a broad rally led by heavyweight resource and financial stocks, as crude prices rose and the country's largest oil and gas company forecast higher production and lower costs in 2017.
The S&P/TSX Composite hung onto 75.46 points worth of gains – off its highs of the morning -- to move into noon hour at 14,808.68
The Canadian dollar picked up 0.03 cents at 74.45 cents U.S.
Suncor Energy Inc rose 0.6% to $41.25 after it said it expected production to rise by more than 13% next year and spending to fall by more than $1 billion.
The overall energy group climbed, with oil prices boosted by Saudi optimism that the Organization of Petroleum Exporting Countries will be able to reach a deal to curb output later this month.
Offsetting the gains, Valeant Pharmaceuticals International Inc shares fell 6.4% to $22.49 after two former executives were arrested on charges related to an investigation into the drug maker's ties to a specialty pharmacy company.
Bombardier Inc shares advanced 1.6% to $1.94 after the plane and train maker moved to raise funds to refinance some debt.
The heavyweight financials group gained, with Royal Bank of Canada up 0.7% at $86.63, and Bank of Nova Scotia adding 0.9% to $71.27.
Great Canadian Gaming Corp fell 8.8% to $23.40 after the company said an insider plans to sell a large stake.
On the economic slate, Statistics Canada reported that foreign investment in Canadian securities amounted to $11.8 billion in September. New issues of bonds placed abroad by Canadian private corporations accounted for the bulk of this activity.
At the same time, Canadian investment in foreign securities was $1.8 billion, led by acquisitions of non-U.S. foreign shares.
ON BAYSTREET
The TSX Venture Exchange stayed buoyant 3.24 points to 745.09
All 12 TSX subgroups stayed higher by noon, with health-care hiking 1.4%, gold up 1%, and materials improving 0.9%.
ON WALLSTREET
U.S. equities traded mostly higher on Thursday as investors parsed through a host of economic data while Federal Reserve Chair Janet Yellen testified in front of Congress.
The Dow Jones Industrials gathered 15.27 points to 18,883.41, with Wal-Mart and Cisco Systems contributing the most losses and Home Depot the most gains.
The S&P 500 forged ahead 8.89 points at 2,185.83, with financials rising 1% to lead advancers.
The NASDAQ composite index advanced 30.95 points to 5,325.54
In corporate news, Wal-Mart reported mixed quarterly results, beating earnings estimates but missing sales expectations. Wal-Mart shares fell around 4%. Best Buy, on the other hand, beat both top and bottom-line estimates, lifting its shares rise 9.7%
Yellen, the head of the Federal Reserve, testified in front of Congress. In prepared remarks, Yellen said a rate hike could be "appropriate relatively soon," adding there are dangers to waiting too long to tighten monetary policy.
Housing starts soared more than 25% in October, while weekly jobless claims dropped to their lowest level since November 1973.
Meanwhile, October Consumer Price Index rose 0.4%, in line with expectations.
Treasury prices for the 10-year note were lower, raising yields to 2.26% from Wednesday’s 2.22%. Treasury prices and yields move in opposite directions
Oil prices remained positive 13 cents to $45.70 U.S. a barrel
Gold prices bolstered $1.50 to $1,225.40 U.S. an ounce.
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