RTTNews - Toronto stocks moved to their best levels in almost eight months as a stronger-than-forecast U.S. gross domestic product report led to optimism over the economy. Commodity-related stocks led the upward charge.
The S&P/TSX Composite Index rallied 110.43 points or 1.03% to settle at 10,787.15. After an early slip, the market moved in the green throughout the vast majority of the day.
Toronto markets are closed on Monday for Civic Day.
The market gained a little more than 100 points on the week. The index has gained in 11 of the last 15 sessions and has gained more than 1,000 points over the last three weeks. The market
Gold stocks rallied 3.6% and materials stocks added 2.3% as the precious metal surged above $950 an ounce. Eldorado (ELD.TO) jumped 5.9% after the company reported second quarter earnings of US$0.07 per share, compared US$0.07 per share in the year-ago quarter.
Mining stocks gained 3.1%. Teck Resources (TCK.B.TO) rallied 4%. First Quantum (FM.TO) gained 2.7% and Inmet (IMN.TO) added 1.9%.
Energy stocks gained 1% as Encana (ECA.TO) rose 2%. Canadian Oil Sands (COS.UN.TO) added 1.75% and Canadian Natural Resources (CNQ.TO) rose 1.25%.
Pengrowth Energy (PGF.UN.TO) has dropped 0.1% after the stock was initiated at Hold by Canaccord Adams.
In other corporate news, Sierra Wireless (SW.TO) declined 2.75% after the company reported second quarter net loss of US$5.87 million or US$0.19 per share, compared to net income of US$10.97 million or US$0.35 per share in the same quarter of last year. Analysts expected the company to report earnings of US$0.26 per share.
Norbord (NBD.TO) gained 6.1% after the company reported a second-quarter net loss of US$18 million or US$0.04 per share compared to a loss of US$36 million or US$0.24 per share in the second quarter of 2008.
MethylGene (MYG.TO) fell 5.7% after the company reported second quarter net loss of C$6.92 million or C$0.19 per share, compared to net loss of C$7.4 million or C$0.20 per share last year.
TVA Group (TVA.B.TO) has surged 15% after the company posted second quarter net income of C$15.2 million or C$0.63 per share, compared to C$12.9 million or C$0.49 per share in the last year quarter.
On the economic front, Statistics Canada reported that the Canadian Gross Domestic Product decreased 0.5% In May. GDP was expected to fall 0.4%, compared to a 0.1% drop in April.
Across the border, the U.S. Commerce Department revealed GDP fell at a pace of 1 percent for the second quarter. Economists had expected GDP to fall at a 1.5 percent pace. This follows a 6.4-percent contraction in the first quarter.
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