Stocks on Baystreet made up some ground and closed slightly green for the day aided by the strength of gold as it continues to head higher. The strength of gold outweighed the losses in by energy and bank sectors and the financial forecast put forth by FedEx.
The S&P TSX Composite Index closed up 28.51 points at 12,173.35 .
On the gold front -- Gold prices moved higher, continuing a rally that has seen bullion hit record high after record high. The December bullion contract added $5.30 to US$1,274 an ounce, sending the gold sector up 1.5%. Shares in Barrick Gold Corp. (TSX: ABX) gained 43 cents to $46.62.
Kinross Gold Corp., Canada’s third largest producer gold, rose 5.77 percent to $19.06.
Banks give some back -- Royal Bank of Canada (T.RY) was down 1.2% at $53.83, and Toronto-Dominion Bank (T.TD) fell 1.1% to $75.37.
The Potash saga continues -- Potash Corp (T.POT) is up 1.6% at $152.89 on news that Potash is trying to stitch together a consortium led by China to back a management buyout to trump BHP Billiton's (BHP.AX) $38.6 billion hostile takeover offer.
In other news -- Tethys Petroleum Limited (T.TPL) announced that it had signed a gas sales contract which will move the Company into a position of positive operating cash flow. This contract is for the initial sales of gas from the Akkulka gas field in Kazakhstan and will double current gas production and more than double current gas revenue. First deliveries under this contract are expected before the end of this month. Shares in MDS lost 5 cents to $1.80.
The Canadian dollar lost 0.02 of a cent to 97.41 cents US.
ON BAYSTREET
Seven of the TSX subgroups traded in the green this afternoon. Material stocks are ahead 1.72%, gold issues are up 1.67% and telecom stocks are up 1.01%.
On the downside -- health-care stocks slid the most, losing 1.52%, while real estate stocks were off 0.77% and financials shed 0.44%.
The TSX Venture Exchange was up 20.10 points, at 1650.34, the Nasdaq Canada index also is green; up 7.37 points higher to 596.26.
ON WALLSTREET
U.S. stocks saw bulls and bears battle on Thursday with the bulls slightly prevailing at the close of the day.
Stocks have been rising for most of September, but on very weak volume as skepticism is still prominent about the state of the economy. FedEx darkened the mood today with an announcement that it would eliminate 1,700 jobs as a cost-cutting measure for its money-losing U.S. trucking business.
The Dow Jones Industrial Average moved ahead by 22.10, or 0.21%, at 10,594.83. The S&P 500 fell .41 points, or 0.4 %, to 1124.66 and Nasdaq closed green by 1.93 points, or 0.8%, to 2,303.25.
Oil held to losses after the Philadelphia Federal Reserve Bank’s regional survey showed slugging business activity. Earlier, the Labor Department said jobless claims fell by 3,000 to 450,000 in the latest week. Economists surveyed by MarketWatch expected claims to rise to 460,000.
Among stocks in focus -- FedEx(FDX) said before the bell that its earnings rose 107% on strong demand from an improving economy. Earnings were $1.20 a share, in line with earnings estimates. The company beat top-line estimates, with revenue coming in at $9.5 billion. FedEx also raised full-year guidance. The stock was down 3.8% to $82.61.
Clearwater Paper Corp. said Thursday it will pay $12 per share to acquire Cellu Tissue Holdings Inc. (CLU) in a $247 million deal. Shares of CLU are up nearly 50% at $11.86.
Even with JA Solar (JASO) largest shareholder selling, the solar sector is having a good day with JASO and First Solar (FSLR) performing well this morning. Both were up more than 2% in early trading and now holding in the green. JASO is up.69% at $7.28 while FSLR is up 3.08% at $144.58.
Fuwei Films (FFHL) announced that In July and August the average sales price of Fuwei Films has increased over 10% compared with the first half of this year. Due to high demand, Fuwei Films is at high production levels for its products. Due to improved market conditions, the company expects the financial results of the second half of 2010 to be increased compared with the first six months of the year. Shares are trading up 13.59% at $1.17.
The USD lost some ground against the Euro, but increased in value versus the yen.
Oil futures for October delivery tumbled $1.45 to $74.57 U.S a barrel.
Gold prices climbed $5.10 to $1,273.80 U.S an ounce.
Bonds: The yield on the 10-year bond increased .36%, to 2.7590%.
