Equities in Toronto moved back from a one-month high as noon ET approached on Friday, boosted by energy shares, as upbeat U.S. jobs numbers and strong manufacturing data out of China eased worries of a global economic slowdown.
The TSX Composite Index came off its highs of the morning, but found itself in positive territory 69.95 points to 16,553.11
The Canadian dollar regained 0.10 cents to 76.04 cents U.S.
The largest percentage gainer on the TSX was Kinaxis, which jumped $9.07, or 10.8%, to $93.18, after the company reported upbeat third-quarter results.
Sleep Country slumbered $2.62, or 11.9%, the most on the TSX, to $19.33 after the company’s quarterly earnings missed expectations.
In the economic docket, the IHS Markit Canada Manufacturing Purchasing Managers’ index, a measure of manufacturing business conditions, rose to a seasonally adjusted 51.2 in October, its highest level since February, from 51.0 in September. A reading above 50 shows expansion in the sector.
ON BAYSTREET
The TSX Venture Exchange hiked 1.29 at 539.66
Eight of the 12 Toronto subgroups jumped midday, with energy gushing 2.2%, information technology clicking 1.1%, and industrials up 0.8%.
The four laggards were weighed most by gold, sliding 1.3%, materials, weaker by 0.6%, and utilities, off 0.1%.
ON WALLSTREET
Stocks rose on Friday as investor sentiment got a lift from much stronger-than-expected U.S. jobs data.
The Dow Jones Industrial Average hiked 241.51 points to 27,287.74
The S&P 500 spiked 19.37 points to 3,056.93, to a fresh record high.
The NASDAQ Composite Index advanced 50.79 points to 8,343.15
Exxon Mobil was the best-performing stock in the Dow on the back of stronger-than-forecast quarterly results. The stock gained 2%. The industrials and financials sectors both rose around 1%.
U.S. Steel shares rose around 5% after the company posted Thursday afternoon a smaller-than-expected quarterly loss. Qorvo also reported better-than-expected results and issued strong guidance for the current quarter, sending its stock up more than 17%.
Around 70% of S&P 500 companies have reported quarterly numbers thus far. Of those companies 75% have reported better-than-expected earnings.
The U.S. economy added 128,000 jobs in October, the Labor Department said Friday. Economists polled by Dow Jones expected a gain of 75,000 jobs for the previous month. October jobs growth easily beat estimates despite a decline of 42,000 jobs in the autos sector due to a General Motors strike that has now been settled.
Jobs growth data for September and August was also revised substantially higher. September’s number was revised up to 180,000 from 136,000. August jobs growth was revised to 219,000 from 168,000.
Other data released Friday included the Institute for Supply Management’s reading on October U.S. manufacturing. The ISM’s manufacturing PMI came in at 48.3, representing a bigger-than-expected contraction in the sector.
However, some of the survey’s internal components showed improvement, stemming offsetting the disappointing headline number. U.S. manufacturing fell to its lowest level in a decade in September amid lingering worries around U.S.-China trade talks.
Prices for the benchmark 10-year U.S. Treasury sagged, raising yields to 1.73% from Thursday’s 1.68%. Treasury prices and yields move in opposite directions.
Oil prices restored $1.11 to $55.29 U.S. a barrel.
Gold prices dropped $1.70 to $1,513.10 U.S. an ounce.
