TSX Ends Higher As Commodity Prices Rise -- Canadian Commentary

(RTTNews) - Canadian stocks ended higher for a seventh straight session on Friday, tracking rising global equity markets after commodity prices increased, driving mining, gold and energy stocks up.

The majority of the Canadian sectors are in positive territory, with the largest gains seen in shares of gold stocks, even as commodity prices drove mining and energy stocks to the upside.

Most European markets ended in positive territory after Greece repaid a 450 million euros loan to the International Monetary Fund yesterday, with IMF Chief Christine Lagarde stating that Athens would be afforded "flexibility" over its cash-for-reforms program.

The Greek government must now work to implement much-needed reforms, Lagarde said after a speech at the Atlantic Council in Washington, DC on Thursday. Lagarde, meanwhile, urged policymakers across the globe to work together to prevent the "new mediocre" growth from becoming a "new reality."

Markets in the United States ended higher, following two days of choppy trading. Traders have seemed reluctant to make any significant moves over the past few days due in part to uncertainty about the impending earnings season.

General Electric announced Friday morning that it has decided to reduce the size of its financial businesses and sell most assets of GE Capital for about $26.5 billion.

In economic news, a Labor Department report showed U.S. import prices to have declined for an eighth consecutive month in March, while domestic imports dropped 10.5 percent, the steepest decline since 2009.

The benchmark S&P/TSX Composite Index closed Friday at 15,388.43, up 62.12 points or 0.41 percent. The index scaled an intraday high of 15,406.06 and a low of 15,350.36.

On Thursday, the index closed up 112.71 points or 0.74 percent, at 15,326.31. The index scaled an intraday high of 15,359.30 and a low of 15,216.21.

Gold futures ended higher even as the dollar trended higher against some select currencies, with investors mulling over the U.S. Federal Reserve's uncertainty over the timing of an interest rate hike at its March policy meet.

The Gold Index gained 2.32 percent, with gold for June delivery adding $11.00 or 0.9 percent to settle at $1,204.60 an ounce on the New York Mercantile Exchange Friday.

Goldcorp Inc. (G.TO) gained 2.66 percent, while Yamana Gold Inc. (YRI.TO) gathered 1.04 percent. Among other gold stocks, Kinross Gold Corp (K.TO) added 0.69 percent, Eldorado Gold Corp. (ELD.TO) moved up 3.21 percent, and Barrick Gold Corp. (ABX.TO) gathered 2.05 percent.

Crude oil ended higher as concerns over Iranian oil flooding the already oversupplied market in the near term eased, even as the dollar trended higher against a basket of major currencies.

The Energy Index gained 0.70 percent, with U.S. crude oil futures for May delivery, the most actively traded contract, gaining $0.85 or 1.7 percent to settle at $51.64 a barrel on the New York Mercantile Exchange Friday.

Among energy stocks, Canadian Oil Sands Limited (COS.TO) jumped 2.76 percent, Suncor Energy Inc. (SU.TO) moved up 0.79 percent, and Canadian Natural Resources Limited (CNQ.TO) improved 2.76 percent.

Crescent Point Energy Corp. (CPG.TO) moved up 0.89 percent, while Cenovus Energy Inc. (CVE.TO) added 0.14 percent. Bonterra Energy (BNE.TO) advanced 1.58 percent, while Legacy Oil + Gas Inc. (LEG.TO) added 3.66 percent.

Encana Corp. (ECA.TO) shed 0.14 percent, while Pacific Rubiales Energy Corp. (PRE.TO) plunged 6.16 percent.

The Diversified Metals & Mining Index dipped 0.20 percent, as First Quantum Minerals Ltd. (FM.TO) shed 2.65 percent and Lundin Mining Corp. (LUN.TO) gained 1.20 percent.

Teck Resources (TCK.B.TO) fell 1.42 percent, while Capstone Mining (CS.TO) jumped 7.09 percent, and Finning International Inc. (FTT.TO) edged down 0.32 percent.

The Capped Materials Index added 1.10 percent, mainly on rising gold stocks, with Potash Corp. of Saskatchewan Inc. (POT.TO) up 0.68 percent and Agrium Inc. (AGU.TO) gaining 0.57percent.

The heavyweight Financial Index moved up 0.22 percent, as Bank of Nova Scotia (BNS.TO) gained 0.30 percent and Bank of Montreal (BMO.TO) added 0.26 percent.

National Bank of Canada (NA.TO) slipped 0.10 percent, Royal Bank of Canada (RY.TO) added 0.66 percent. Toronto-Dominion Bank (TD.TO) inched up 0.07 percent, while Canadian Imperial Bank of Commerce (CM.TO) advanced 0.58 percent.

The Capped Health Care Index added 2.16 percent, as Extendicare (EXE.TO) shed 0.52 percent, Valeant Pharmaceuticals International, Inc. (VRX.TO) gathered 0.80 percent, Catamaran Corp. (CCT.TO) gained 0.50 percent, and Concordia Healthcare (CXR.TO) surged 6.45 percent.

The Capped Industrials Index moved up 0.17 percent, with Bombardier Inc. (BBD.B.TO) moving up 1.54 percent. Canadian Pacific Railway Limited (CP.TO) gained 0.36 percent and Canadian National Railway (CNR.TO) advanced 0.31 percent.

The Information Technology Index gathered 1.12 percent, with BlackBerry (BB.TO) ending flat at $2.83 a share, and Constellation Software Inc. (CSU.TO) gained 2.21 percent. Sierra Wireless, Inc. (SW.TO) gained 2.05 percent, while Descartes Systems Group Inc. (DSG.TO) shed 0.10 percent.

The Capped Telecommunication Index moved up 0.31 percent, with BCE Inc. (BCE.TO) up 0.51 percent, Rogers Communications Inc. (RCI.B.TO) up 0.18 percent, and TELUS Corp. (T.TO) adding 0.36 percent. Manitoba Telecom Services Inc. (MBT.TO) added 0.54 percent.

On the economic front, the Canadian economy created more jobs than expected in March, led by gains in part-time work. Data from Statistics Canada showed that Canada's employment increased by 29,000 jobs in March, after a decline of 1,000 jobs in the previous month. Economists were expecting the employment to be flat for the month.

The unemployment rate was unchanged at 6.8 percent. This beat forecast for an increase of 6.9 percent.

In other economic news, a Labor Department report on Friday showed U.S. import prices to have moved back to the downside in March, after reporting a modest rebound in prices the previous month. Import prices dipped by 0.3 percent in March after edging up by a revised 0.2 percent in February. The pullback in prices matched economist estimates.

Meanwhile, the report also said U.S. export prices inched up by 0.1 percent in March following a revised 0.2 percent drop in February. Economists expected export prices to slip by 0.2 percent.

Chinese inflation remained unchanged in March and producer prices continued to remain in negative territory, giving room for the central bank to adjust its policy to spur economic growth. The consumer price index gained 1.4 percent in March from last year, the same rate of growth as seen in the prior month, the National Bureau of Statistics reported Friday. Inflation was forecast to ease marginally to 1.3 percent.

French industrial production and manufacturing output remained unchanged in February, statistical office Insee reported Friday. Industrial production showed nil growth in February after rising 0.3 percent in January and 1.5 percent in December. Economists had forecast output to fall 0.1 percent.

U.K. industrial production logged a marginal growth in February as the expansion in manufacturing was largely offset by a decline in oil and gas output, data from the Office for National Statistics revealed Friday. Industrial output rose 0.1 percent on a monthly basis in February, offsetting January's 0.1 percent fall. This was the first rise in three months but the rate was weaker than a 0.3 percent growth forecast by economists.