April 28, 2011 / 3:03 PM / 8 years ago

CANADA STOCKS-TSX buoyed by record gold, strong earnings

 * TSX rises 0.11 percent to 13,908.35
 * Strong earnings offset U.S. economic growth concerns
 * Gold miners among top advancers on record gold price
 * Top decliners include Imperial Oil, Thomson Reuters  (Adds details)
 TORONTO, April 28 (Reuters) - Toronto’s main stock index rose moderately on Thursday morning, buoyed by stronger corporate earnings and a rise in prices for gold and several other commodities.
The price of gold extended gains to hit a record high of $1,535.50 an ounce. Barrick Gold (ABX.TO) climbed 1.3 percent to C$48.97, while Goldcorp (G.TO) added 1.13 percent to C$52.89. The index’s materials group, home to gold miners, was up 0.53 percent.
 That offset weakness in energy and financial issues, down 0.14 percent and 0.26 percent, respectively. Top decliners were Canadian Natural Resources (CNQ.TO), Imperial Oil (IMO.TO) and Thomson Reuters (TRI.TO).
 At 10:35 a.m. (1535 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE was up 15.78 points, or 0.11 percent, at 13,908.35. Seven of its 10 main sectors were higher.
 “I’m not expecting the market to be up or down dramatically today, but I think people are just consolidating some gains,” said Bruce Latimer, trader at Dundee Securities.
 Stronger-than-expected earnings pushed up Potash Corp POT.TO, which rose 0.2 percent to C$54.32, paper maker Domtar Corp (UFS.TO), up 3.2 percent at C$89.01, and pharmacy chain Jean Coutu Group PJCa.TO, up 0.7 percent at C$10.52.
 News and information provider Thomson Reuters fell 1.66 percent to C$38.48 after it reported adjusted earnings that missed estimates. It said it plans to sell two businesses to fund further investment. [ID:nN26263605]
 Imperial Oil fell 2.73 percent to C$48.90 after reporting a lower-than-expected profit. [ID:nN27295358]
 Still, there were enough strong earnings results in both Canada and the United States to offset new concerns about the U.S. economy. Data on Thursday showed U.S. economic growth braked sharply in the first quarter as higher food and gasoline prices dampened consumer spending, and pushed up a broad measure of inflation at the fastest pace in 2-1/2 years.
 The report follows acknowledgment by the U.S. Federal Reserve on Wednesday of the slowdown in first-quarter growth. It described the recovery as proceeding at a “moderate pace”, and confirmed plans to complete its $600 billion bond buying program in June.
 ($1=$0.95 Canadian)  (Reporting by Ka Yan Ng; editing by Peter Galloway)                                        

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