TSX Ends Slightly Higher On Revised Jobs Data -- Canadian Commentary

(RTTNews) - Canadian stocks ended a tad higher Friday, driven by an upbeat revised jobs data, even as energy stocks made significant gains with crude oil prices surging on reports of escalating tensions between Russia and Ukraine over the ongoing conflict in eastern Ukraine.

The main index was propped up by some upbeat revision to last month's jobs report, with employment rising by 42,000 in July in Canada due to a large increase in part-time work. The unemployment rate declined 0.1 percentage points to 7.0 percent. This corrects an initial reading showing Canada's economy created only 200 jobs in July.

Some upbeat economic data from the U.S. also added to sentiment with industrial production increasing more than expected in July. Nonetheless, a gauge of U.S. consumer sentiment deteriorated more than anticipated in August, to its lowest level in nine months amid geopolitical worries.

The S&P/TSX Composite Index closed Friday at 15,304.24, up 13.06 points or 0.09 percent. The index scaled a intraday high of 15,307.31 and a low of 15,182.13.

On Thursday, Canadian stocks ended higher tracking rising U.S. equity markets with gains limited as mining and energy shares trended down following a sharp fall in crude oil prices.

Crude oil rebounded after having plummeted two percent to a seven-month low yesterday on demand growth concerns, mainly on escalating tensions between Ukraine and Russia.

The Energy Index jumped 1.01 percent, with U.S. crude oil futures for September delivery surging $1.77 or 1.8 percent to close at $97.35 a barrel Friday on the Nymex.

Among energy stocks, Cenovus Energy Inc. (CVE.TO) added 0.45 percent, Enbridge Inc. (ENB.TO) gained 0.39 percent, Suncor Energy Inc. (SU.TO) jumped 2.41 percent, Talisman Energy (TLM.TO) added 1.43 percent, Encana Corp. (ECA.TO) moved up 0.43 percent, and Canadian Natural Resources Limited (CNQ.TO) added 1.72 percent.

The Healthcare Index gained 1.17 percent with Valeant Pharmaceuticals Inc. (VRX) up 1.08 percent, Catamaran Corp. (CCT.TO) up 0.36 percent, and Extendicare Inc. (EXE.TO) gaining 2.00 a share.

The Financial Index shed 0.35 percent with Toronto-Dominion Bank shedding 0.44 percent and Bank of Nova Scotia (BNS.TO) dropping 0.40 percent.

Among other major banks, Canadian Imperial Bank Of Commerce (CM.TO) dropped 0.43 percent, Royal Bank of Canada (RY.TO) fell 0.36 percent, and Bank of Montreal (BMO.TO) slipped 0.10 percent.

Gold futures ended sharply lower on some mixed economic data from the U.S. with industrial production increasing more than expected in July.

Global Gold Index shed 0.96 percent, with gold futures for December delivery dropping $9.50 or 0.7 percent to close at $1,306.20 an ounce on the Nymex Friday.

Among gold stocks, B2Gold Corp. (BTO.TO) dropped 1.71 percent, Yamana Gold Inc. (YRI.TO) shed 1.05 percent, Barrick Gold Corp. (ABX.TO) down 0.91 percent, Goldcorp Inc. (G.TO) down 1.46 percent, and Detour Gold Corp. (DGC.TO) dropping 1.00 percent.

The Capped Materials Index fell 0.17 percent on the back of declining gold stocks, even as Potash Corp. of Saskatchewan Inc. (POT.TO) gained 0.74 percent.

The Diversified Metals & Mining Index gained 63 percent, with First Quantum Minerals Ltd. (FM.TO) up 0.33 percent, Lundin Mining Corp. (LUN.TO) up 1.47 percent, and Teck Resources Limited (TCK.B.TO) down 0.20 percent.

The Capped Industrials Index shed 0.12 percent, with Bombardier Inc. (BBD.B.TO) down 0.78 percent and Air Canada (AC.B.TO) down 1.96 percent.

The Capped Telecommunications Index fell 0.29 percent, with Rogers Communications Inc. (RCI.B.TO) slipping 0.28 percent, Manitoba Telecom Services Inc. (MBT.TO) down 0.33 percent, and BCE Inc. (BCE.TO) surrendering 0.58 percent.

The Information Technology Index surrendered 1.05 percent, with BlackBerry Limited (BB.TO) up 0.77 percent and Avigilon Corp. (AVO.TO) diving 1.12 percent.

The Capped Utilities Index added 0.63 percent with Fortis Inc. (FTS.IR.TO) gaining 2.62 percent.

In corporate news, Tim Hortons (THI.TO) slipped 0.56 percent. The company announced it will finally offer a dark roast in effort to lure picky customers from Starbucks and other coffee houses.

Imperial Metals Corp. (III.TO) gained 15.81 percent after a British Columbia First Nation issued an eviction notice to the company.

In economic news from the U.S., a Federal Reserve report showed industrial production to have risen by 0.4 percent in July, matching the upwardly revised increase reported for June. Economists expected production to rise by 0.3 percent compared to the 0.2 percent uptick originally reported for the previous month.

The bigger than expected increase in production was largely due to the jump in manufacturing output, which surged 1.0 percent in July after climbing by an upwardly revised 0.3 percent in June.

A preliminary report from Thomson Reuters and the University of Michigan on Friday showed U.S. consumer sentiment index for August dropped to 79.2 compared to the final July reading of 81.8. Economists expected the consumer sentiment index to inch up to a reading of 82.3.

The New York Fed said its general business conditions index dropped to 14.7 in August from 25.6 in July, although a positive reading continues to indicate an increase in regional manufacturing activity. The index has been expected to dip to a reading of 20.0. The bigger than expected pullback by the general business conditions index after having reached a four-year high in the previous month.

The U.S. Labor Department said its producer price index for final demand inched up by 0.1 percent in July after climbing 0.4 percent in June. The modest increase was in line with economists' estimates.

Higher food prices contributed to the modest increase by the producer price index, as food prices rose by 0.4 percent in July after falling by 0.2 percent in each of the two previous months.