Stocks moved higher in midday trading on Thursday, bolstered by falling bond yields in Italy, and a variety of factors from down south.
The S&P/TSX Composite remained in the black 37.80 points to greet lunch hour at 11,766.21
The Canadian dollar garnered 0.38 cents to 97.98 cents U.S.
Financials rose by noon, but the gains among commodity producers were more tame though, and come even as key commodity prices retreat.
Energy stocks gained strength even as the price of crude oil fell. Materials were helped by gold producers; however, the price of gold remains in the dumps.
ON BAYSTREET
The TSX Venture Exchange dropped 7.91 points to 1,443.17, while the Nasdaq Canada index edged up 1.12 points to 363.40
All but two of the 14 Toronto subgroups were positive by midday. Metals and mining climbed 0.8%, while global base metals improved 0.7%, and consumer staples moved ahead 0.6%.
The two laggards were health-care, down 0.3%, and utilities, off 0.2%.
ON WALLSTREET
In New York, stocks rose Thursday, pushing the S&P 500 back into positive territory for the year, as investors welcomed an upbeat report on the housing market.
The Dow Jones Industrials soared 100.09 points by noon ET to 12,251.50
The S&P 500 moved up 10.19 points to 1,259.83, while the Nasdaq Composite progressed 15.85 points to 2,605.83.
The report boosted shares of homebuilders, including Pulte, Masco, Lennar and DR Horton. Investors also scooped up banking stocks, which have been among the worst performers this year. Bank of America, Citigroup and JPMorgan all rose.
Amazon fell 3.4% after analysts at Goldman Sachs suggested that the online retailer's sales growth for the holiday period may fall short of expectations.
Shares of Yahoo gained 1% after reports that China's Alibaba Group has hired a lobbying firm to prepare a bid for Yahoo.
BP edged higher despite reports that employees could face criminal charges in relation to last year's Gulf of Mexico oil spill.
Thursday's rebound put the S&P 500 back on track for a modest gain in 2011, after the broad market index fell sharply Wednesday.
On Thursday, an auction of Italian 10-year bonds, which have seen yields continue to flirt with the 7% danger zone, provided muted results. While yields were reported below prior levels, demand was short.
The euro fell to a 17-month low and analysts warn the currency could fall even further in 2012.
On the economic ledger, the National Association of Realtors index of pending home sales, which measures signed sales contracts but not closed sales, rose 4% to a seasonally-adjusted annual rate of 4.42 million in November from 4.25 million in October.
Economists had expected a 0.6% increase in pending home sales.
Elsewhere, jobless claims rose 15,000 to 381,000 in the latest week, according to the U.S. Labor Department. Analysts surveyed by Briefing.com had expected 368,000 claims.
But the figure remained below 400,000, giving investors hope that the labour market will strengthen in the New Year.
The price on the benchmark 10-year U.S. Treasury faded, pushing the yield up to 1.92% from 1.91% Wednesday. Treasury prices and yields move in opposite directions.
Oil for January delivery subsided 80 cents to $98.56 U.S. a barrel.
Gold futures for February delivery fell $25.90 to $1,538.20 U.S. an ounce.
