Canada's main stock index advanced on Thursday as positive U.S. economic data outweighed concerns about the debt crisis in Washington and the future of a BlackBerry takeover deal.
The S&P/TSX composite index jumped 22.46 points to greet noon at 12,859.17
The Canadian dollar dipped 0.09 to 96.87 cents U.S.
The market tried to digest news of BlackBerry's $4.7-billion agreement with Fairfax Financial and come to terms with the deal's funding challenges. Volatile shares of the smartphone maker dropped in early trade before gaining 1.3%.
Shares of energy companies advanced 0.7%, benefiting from higher oil prices.
Canadian Natural Resources Ltd rose 1.2% to $32.82 and had the biggest positive influence on the market; Suncor Energy Inc was up 0.4%, at $37.25.
Financials, the index's most heavily weighted sector, gained ground as Royal Bank of Canada, the country's biggest lender, climbed 0.3% to $66.52, and Bank of Nova Scotia moved up 0.2 percent to $59.76.
Shares of BlackBerry were trading at $8.35, helping lift the information technology group.
ON BAYSTREET
The TSX Venture Exchange gained 2.96 points to 950.66
Eight of the 14 Toronto subgroups were higher, led by metals and mining, up 1.1%, while global base metals were 0.9% higher, and energy stocks picked up 0.6%.
The half-dozen laggards were weighed mostly by gold, down 1.1%, materials, down 0.5%, and information technology, off 0.4%.
ON WALLSTREET
After five straight days of losses, stocks gained ground Thursday.
The Dow Jones Industrials remained positive 39.18 points to 15,312.40.
The S&P 500 index improved 4.03 points to 1,696.80. The NASDAQ grew 21.39 points to 3,782.49
Nike, one of the newest members of the Dow, will release its latest quarterly results after the closing bell.
Facebook shares hit an all-time high above $50 U.S. a share. Shares have nearly doubled since Facebook's second-quarter earnings report in July that reassured investors about the company's mobile strategy. The rally marks a sharp reversal for the stock, which was a big disappointment after its botched May 2012 IPO.
J.C. Penney shares bounced back Thursday after J.C. Penney CEO Mike Ullman reportedly told investors that the company won't need to raise capital this year, according to CNBC. On Wednesday, the stock plunged 15% following reports that the retailer might seek $1 billion U.S. through a stock sale.
In a statement Thursday morning, J.C. Penney said it is "pleased thus far in the company's turnaround efforts," and added that it expects to book positive same-store sales during the third and fourth quarters.
Shares of Bed Bath & Beyond climbed after the retailer posted quarterly earnings Wednesday that beat expectations.
JPMorgan Chase and Morgan Stanley shares advanced following reports that the banks will help lead Twitter's initial public offering. Goldman Sachs is expected to be the lead underwriter, according to previous reports.
JPMorgan Chase CEO Jamie Dimon has also reportedly met with Attorney General Eric Holder to settle a number of government investigations related to mortgage-backed securities for a whopping $11 billion U.S., according to a source familiar with the situation.
Though Washington is in the spotlight, investors will also soon turn their attention to third-quarter earnings.
Analysts expect earnings growth of 3.6% for the S&P 500 companies, according to S&P Capital IQ estimates. That would be the smallest increase in a year. But revenue is forecast to grow by 4.8%, the best pace in over a year.
On the economic front, gross domestic product in the U.S. grew at an annual rate of 2.5% during the third quarter according to the government's final GDP reading. Jobless claims fell slightly to 305,000 last week, which was below expectations.
Stocks hit record highs earlier last week, but market sentiment has taken a hit in the past few days as investors worry about a possible government shutdown and the upcoming debt limit.
Congress has less than a week to agree on a short-term funding bill to prevent a shutdown on Oct. 1, and despite all the squabbling, investors largely assume that lawmakers will reach a last-minute deal.
Prices for the 10-year U.S. Treasury sagged, raising yields to 2.65% from Wednesday’s 2.61%. Treasury prices and yields move in opposite directions.
Oil prices gained 38 cents to $103.04 U.S. a barrel.
Gold prices dipped $10.50 at $1,325.80 U.S. an ounce.
