Equity markets in Canada’s biggest centre rose sharply on Friday, helped by expectations the Chinese government will come up with a stimulus package to support that country’s economy.
The S&P/TSX composite index grew 81.88 points to close the week at 14,260.72. The index is up more than 4% so far this year.
The Canadian dollar pulled back in price 0.24 cents at 90.40 cents U.S.
China's Premier Li Keqiang said that Beijing was ready to support the world's second-biggest economy and signaled a willingness to drive infrastructure investment.
China is a major market for Canada's natural resources.
BlackBerry gave back earlier gains and finished the day down 69 cents, or 6.9%, to $9.27 after the company reported a much smaller-than-expected quarterly loss even as its smartphone sales continued to slide. Its losses weighed heavily on the tech sector, which sustained the biggest setback of all the main subgroups (see below).
In the materials sector, which includes mining stocks, Goldcorp added 33 cents, or 1.2%, to $27.79, and Barrick Gold climbed 29 cents, or 1.5%, to $20.24.
Shares of energy producers received a boost from higher oil prices. Suncor Energy rose 98 cents, or 2.6%, to $38.19, and Canadian Natural Resources was up 30 cents, or 0.7%, at $42.09.
In corporate news, BRP Inc forecast a lower-than-expected full-year profit. Shares of the snowmobile maker shed $3.46, or 10.9%, to $28.40.
ON BAYSTREET
The TSX Venture Exchange remained positive 4.38 points to 989.73
In all, 10 of the 14 Toronto subgroups finished the day higher, most notably gold, up 2.1%, metals and mining, up 1.9%, and telecoms, advancing 1.5%.
The four laggards were weighed by the aforementioned information technology sector, getting bruised 0.8%, health-care, stepping back 0.3%, and consumer staples, sliding 0.04%.
ON WALLSTREET
It started out as a Friday rally for stocks, but the morning's gains shrank in the afternoon.
The Dow Jones Industrial Average was higher by 58.83 points to 16,323.06, after enjoying gains in triple digits earlier in the day. The S&P 500 index gained 8.58 points to 1,857.62. The NASDAQ progressed 4.53 points to 4,155.76
The first three months of 2014 have been bumpy, and it's possible all the major indexes could end the quarter in the red. The Dow has declined by more than 1% since the start of the year. The S&P 500 is up just around 0.7% and the NASDAQ is essentially flat over the same period.
Microsoft was up sharply after it said yesterday that its Office software will be ready for use on the iPad.
Shares of Tesla were also higher. The company announced it will install fire shields under its Model S sedan.
CBS Outdoor Americas, the billboard arm of CBS started trading Friday and was up more than 6% from its offering price of $28 U.S. a share. From the looks of it, "old media" still holds a place in the hearts of investors.
The IPO today with the biggest gain: Energous, a wire-free energy routing company. Shares soared nearly 60%.
Also an IPO winner: 2U, a cloud-based education provider that rose about 6%.
But it was a very different story for shares of Everyday Health. Investors don't seem to have as good a prognosis for the online health-related content provider. Shares fell more than 4%.
And the most hyped IPO of the week, Candy Crush Saga maker King Digital, continued to struggle. Shares fell another 4% and hit their lowest level since they started trading on Wednesday.
Shares of BlackBerry reversed course and was down 4% after surging this morning.
Also on the radar, Wal-Mart sued Visa for $5 billion U.S. in a price fixing case related to credit card swipe fees. Retailers and credit card companies have been fighting over these fees for years, but this latest move comes with a potentially hefty price tag. Wal-Mart was flat, while Visa was down about 2%.
In the great "breakfast wars" McDonald's took a swipe at Yum! Brands and its Taco Bell unit by offering free coffee for two weeks. Taco Bell just started rolling out its first ever morning menu featuring the Waffle Taco.
Economically speaking, U.S. consumer spending rose 0.3% in February, the biggest gain in three months. Personal income also gained 0.3% last month.
Prices for 10-year U.S. Treasuries sagged, propping up yields to 2.71% from Thursday’s 2.67%. Treasury prices and yields move in opposite directions.
Oil prices held onto gains of 31 cents to $101.59 U.S. a barrel.
Gold prices fell $1.60 to $1,293.10 U.S. an ounce.
