Canadian Stocks Are Climbing On Gold Strength - Canadian Commentary

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(RTTNews.com) - The Canadian stock market is rising in early trade Thursday, adding yesterday's slight increase. Canadian sectors are green across the board this morning, with the largest gains among the gold stocks. The safe haven appeal of the yellow metal appears to be driving the gains, as global trade concerns persist.

Markets in Europe are turning in a mixed performance Thursday, but remain little changed overall.

Markets on Wall Street got off to a weak start Thursday, but have since inched into positive territory.

The benchmark S&P/TSX Composite Index is up 101.42 points or 0.62 percent at 16,416.50.

On Wednesday, the index closed up by 28.78 points or 0.18 percent, at 16,315.08 The index scaled an intraday high of 16,325.12 and a low of 16,235.59.

The Capped Materials Index is up 1.17 percent. Agnico Eagle Mines (AEM.TO) is climbing 2.30 percent and Franco-Nevada (FNV.TO) is higher by 1.90 percent. Nutrien (NTR.TO) is adding 1.24 percent.

The Gold Index is increasing 0.92 percent. Goldcorp (G.TO) is climbing 0.76 percent and Barrick Gold (ABX.TO) is rising 0.63 percent. Yamana Gold (YRI.TO) is up 1.76 percent and B2Gold (BTO.TO) is increasing 0.93 percent. Eldorado Gold (ELD.TO) is advancing 1.09 percent and Kinross Gold (K.TO) is adding 0.70 percent. IAMGOLD (IMG.TO) is gaining 2.07 percent.

The Capped Information Technology Index is gaining 0.89 percent. BlackBerry (BB.TO) is climbing 1.49 percent and Descartes Systems Group (DSG.TO) is rising 1.16 percent. Constellation Software (CSU.TO) is advancing 0.91 percent and Sierra Wireless (SW.TO) is up 1.25 percent.

The Energy Index is rising 0.81 percent. Encana (ECA.TO) is gaining 0.62 percent and Imperial Oil (IMO.TO) is rising 0.57 percent. Canadian Natural Resources (CNQ.TO) is advancing 1.91 percent and Crescent Point Energy (CPG.TO) is climbing 1.29 percent. Cenovus Energy (CVE.TO) is up 1.25 percent and Enbridge (ENB.TO) is adding 1.18 percent and Suncor Energy (SU.TO) is higher by 0.54 percent.

The Capped Healthcare Index is higher by 0.59 percent. Concordia International Corp. (CXR.TO) is rising 4.35 percent and Extendicare (EXE.TO) is adding 1.08 percent.

The heavyweight Financial Index is increasing 0.48 percent. Royal Bank of Canada (RY.TO) is rising 0.52 percent and Toronto-Dominion Bank (TD.TO) is gaining 0.61 percent. Bank of Nova Scotia (BNS.TO) is advancing 0.37 percent and Bank of Montreal (BMO.TO) is higher by 0.65 percent. National Bank of Canada (NA.TO) is adding 0.64 percent and Canadian Imperial Bank of Commerce (CM.TO) is up 0.47 percent.

Cascades Inc. (CAS.TO) reported adjusted net earnings per common share of $0.30 for the second quarter, compared to net earnings of $0.13 in the first quarter of this year and net earnings of $0.25 in the year-ago quarter. The stock is climbing 4.63 percent.

Canadian Tire Corporation (CTC-A.TO) has reported second quarter diluted earnings per share (EPS) of $2.38. Shares are sinking 7.80 percent.

On the economic front, a report from Canada Mortgage and Housing Corp. this morning showed that housing starts dropped to a seasonally adjusted rate of 206,314 units in July.

A separate report from Statistics Canada showed that the new housing price index increased by 0.1 percent in June.

China's inflation accelerated on higher food and non-food prices, but remained well within the government's target and producer price inflation slowed in July, giving space for monetary policy adjustment.

Consumer price inflation rose to 2.1 percent in July from 1.9 percent in June, data from the National Bureau of Statistics showed Thursday.

A similar higher rate was last seen in March. The rate was forecast to rise marginally to 2.1 percent.

First-time claims for U.S. unemployment benefits unexpectedly edged lower in the week ended August 4th, according to a report released by the Labor Department on Thursday. The report said initial jobless claims dipped to 213,000, a decrease of 6,000 from the previous week's revised level of 219,000.

Economists had expected jobless claims to inch up to 220,000 from the 218,000 originally reported for the previous week.

A report released by the Labor Department on Thursday showed producer prices unexpectedly came in unchanged in the month of July. The Labor Department said its producer price index was unchanged in July after rising by 0.3 percent in June. Economists had expected producer prices to increase by 0.2 percent.

Wholesale inventories in the U.S. saw a slight increase in the month of June, according to a report released by the Commerce Department on Thursday. The Commerce Department said wholesale inventories inched up by 0.1 percent in June after rising by 0.3 percent in May. Economists had expected wholesale inventories to come in unchanged.

In commodities, crude oil futures for September delivery are up 0.33 or 0.49 percent at $67.27 a barrel.

Natural gas for September is down 0.001 or 0.03 percent at $2.948 per million btu.

Gold futures for December are up 2.50 or 0.20 percent at $1,223.50 an ounce.

Silver for September is up 0.073 or 0.47 percent at $15.505 an ounce.

Read the original article on RTTNews (http://www.rttnews.com/2925357/canadian-stocks-are-climbing-on-gold-strength-canadian-commentary.aspx)

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This article appears in: World Markets , US Markets , Oil , Stocks
Referenced Symbols: ABX ,

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