TSX rises on oil and gold prices but not enough to salvage losing week

TORONTO — Canada’s important inventory index rebounded Friday on increased metals and oil costs and a powerful U.S. jobs report, however nonetheless ended the week decrease.

The S&P/TSX composite index closed up 83.55 factors at 16,494.43, however was down 119 factors for the week, following 4 days of losses.

Ten of the 11 main sectors had been up on the day, led by supplies and power on increased commodity costs.

The June gold contract was up US$9.30 at US$1,281.30 an oz and the July copper contract was up three.95 cents at US$2.82 a pound.

The June crude contract was up 13 cents at US$61.94 per barrel and the June pure fuel contract was down 2.2 cents at US$2.57 per mmBTU.

The metals sector’s enhance was led by Sherritt Worldwide and Turquoise Hill Assets Ltd., which gained 7.1 and four.6 per cent respectively.

Power partially rebounded from crude worth decreases which have seen the value of West Texas Intermediate drop by greater than two per cent this week, however nonetheless stays up 36.four per cent year-to-date.

“I believe the latest pullback was a most likely slightly overdone,” mentioned Kevin Headland, senior funding Strategist at Manulife Investments, including there may be nonetheless some uncertainty concerning provide and demand.

The sector’s positive aspects had been led by Baytex Power Corp., whose shares gained 12.9 per cent on the day.

The Canadian greenback traded at a mean of 74.47 cents US in contrast with a mean of 74.28 cents US on Thursday.

In New York, the Dow Jones industrial common was up 197.16 factors at 26,504.95, however was down about 40 factors on the week. The S&P 500 index was up 28.12 factors at 2,945.64, whereas the Nasdaq composite was up 127.22 factors at eight,164.00.

U.S. markets responded strongly to an April jobs report that beat expectations as 263,000 jobs had been added, pushing the unemployment charge to a five-decade low of three.6 per cent.

“So I believe it’s a excellent news story throughout and I believe markets are reacting to that constructive information,” Headland mentioned in an interview.

The affect was much less pronounced in Canada, which is able to launch its personal employment numbers subsequent week.

“I believe it’s a read-through to what Canada’s going to supply subsequent week,” he mentioned of the U.S. jobs numbers.

About 80 per cent of U.S. corporations have launched first-quarter outcomes, with most beating diminished expectations. Canada is about midway via what has been a muted season to this point, he mentioned.

Corporations on this story: (TSX:S, TSX:TRQ, TSX:BTE, TSX:GSPTSE, TSX:CADUSDX)

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