RTTNews - Bay Street's main index rose on Friday and approached its multi-month highs from earlier in the week. Mining stocks led the gainers as Rio Tinto (RTP) news outweighed a slight decline in copper prices.
The S&P/TSX Composite Index added 92.05 points or 0.87% to settle at 10,569.29. The index rallied about 200 points for the week.
Mining stocks gained 3.1% after Rio Tinto (RTP) announced it entered into a deal with rival BHP Billiton and scrapped its US$19.5 billion deal with Chinalco.
Inmet (IMN.TO) added 4.1%, Teck Cominco (TCK.B.TO) gained 3.4% and First Quantum (FM.TO) rose 2.75%. The gains came despite the fact that copper fell 1.7 cents to $2.284 a pound in the Comex.
Technology stocks rallied 2.6%, led by a 2.7% gain for Research in Motion (RIM.TO). Barclays raised the price target for the Blackberry maker to US$104 from US$80.
Gold stocks dropped 3.1% as gold for August delivery fell $19.70 to $962.60 in Comex trading. Agnico-Eagle Mines (AEM.TO) dropped 3.4%, Iamgold (IMG.TO) fell 3.3% and New Gold (NGD.TO) declined 2.6%.
The Energy Index finished up 1.4%, although crude oil finished modestly lower on the NYMEX. Canadian Superior Energy (SNG.TO) added 2.25%. The natural gas producer has received an extension to July 24 to prepare a restructuring plan for its creditors, according to The Canadian Press.
In other corporate news, Magna International (MG.A.TO) jumped 5% amid reports the automaker's deal with Opel may run into trouble because of Opel's pension obligations.
Reko International Group (REK.TO) surged 16.5% after the company reported third quarter net income of C$0.2 million or C$0.05 per share, compared to a net loss of C$0.4 million or C$0.05 per share in the same quarter of the prior year.
SXC Health Solutions (SXC.TO) added 0.6% after the stock was initiated at Accumilate by ThinkEquity Partners.
Statistics Canada announced jobs fell by 42,000 in May, compared to a 36,500-job drop expected by economists. The unemployment rate rose by 0.4 percentage points to 8.4%, compared to the forecast of an 8.3% rise.
Meanwhile, a U.S. Labor Department report showed that non-farm payroll employment fell by 345,000 jobs in May following a revised decrease of 504,000 jobs in April. Economists had expected a decrease of about 520,000 jobs compared to the loss of 539,000 jobs originally reported for the previous month.
At the same time, the Labor Department said that the unemployment rate jumped to 9.4 percent in May from 8.9 percent in April.
On Monday, traders will watch for the release of Canadian housing starts for the month of May at 8:30 a.m. ET. Westport Innovations (WPT.TO) is scheduled to report quarterly earnings after the bell.
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