(RTTNews.com) - The Canadian stock market is gaining ground in early trade Friday, bouncing back from yesterday's pullback. Energy and gold stocks are leading the way higher this morning, as commodity prices climb. Crude oil prices have surpassed $74 a barrel this morning and gold prices are attempting to recover from recent weakness.
Data from Statistics Canada showed that Canada's gross domestic product edged up 0.1 percent on a seasonally adjusted monthly basis in April, following a 0.3 percent increase in March. Economists were looking for a flat reading.
Markets in Europe are rising Friday after EU leaders have reached an agreement on migration. The deal should help to avert a political crisis in Germany, where Chancellor Angela Merkel's coalition government was under strain over migrant policy.
Markets on Wall Street are up modestly in early trade Friday. Bank stocks are in focus after most of the nation's largest banks passed the Federal Reserve's annual stress test.
The benchmark S&P/TSX Composite Index is up 111.11 points or 0.69 percent at 16,291.00.
On Thursday, the index closed down by 51.36 points or 0.32 percent, at 16,179.89. The index scaled an intraday high of 16,217.98 and a low of 16,112.63.
The Energy Index is rising 1.61 percent. Crude oil prices continue to march higher Friday morning, rising above $74 a barrel.
Crescent Point Energy (CPG.TO) is climbing 1.77 percent and Cenovus Energy (CVE.TO) is rising 2.55 percent. Encana (ECA.TO) is advancing 1.60 percent and Suncor Energy (SU.TO) is increasing 1.78 percent. Canadian Natural Resources (CNQ.TO) is gaining 2.18 percent and Imperial Oil (IMO.TO) is higher by 1.06 percent. Enbridge (ENB.TO) is up 4.78 percent and Husky Energy (HSE.TO) is adding 2.18 percent.
The Capped Materials Index is up 1.61 percent. Franco-Nevada (FNV.TO) is gaining 0.42 percent and Agnico Eagle Mines (AEM.TO) is climbing 1.76 percent. Nutrien (NTR.TO) is rising 1.93percent.
The Gold Index is increasing 1.08 percent. Gold prices have steadied Friday morning after a last-minute deal on immigration may have saved Angela Merkel's government in Germany.
Barrick Gold (ABX.TO) is up 2.19 percent and Goldcorp (G.TO) is higher by 1.13 percent. Kinross Gold (K.TO) is rising 1.44 percent and Yamana Gold (YRI.TO) is adding 0.26 percent. IAMGOLD (IMG.TO) is advancing 0.66 percent.
The Capped Industrials Index is up 0.48 percent. Canadian Pacific Railway (CP.TO) is gaining 0.57 percent and Canadian National Railway (CNR.TO) is rising 0.39 percent. WestJet Airlines (WJA.TO) is advancing 2.56 and Air Canada (AC.TO) is adding 1.25 percent. Bombardier (BBD-B.TO) is up 0.39 percent and Finning International (FTT.TO) is climbing 0.83 percent.
The Capped Information Technology Index is gaining 0.50 percent. Constellation Software (CSU.TO) is climbing 0.98 percent and Descartes Systems Group (DSG.TO) is adding 0.07 percent.
The heavyweight Financial Index is increasing 0.20 percent. Toronto-Dominion Bank (TD.TO) is advancing 0.63 percent and Royal Bank of Canada (RY.TO) is gaining 0.19 percent. National Bank of Canada (NA.TO) is climbing 0.89 percent and Canadian Imperial Bank of Commerce (CM.TO) is rising 0.35 percent. Bank of Nova Scotia (BNS.TO) is increasing 0.19 percent and Bank of Montreal (BMO.TO) is higher by 0.10 percent.
On the economic front, Canadian industrial product price index rose more than forecast in May, mainly due to higher prices for energy and petroleum products.
The Industrial Product Price Index increased 1.0 percent in May, up from a 0.5 percent gain in April. The index was forecast to rise to 0.9 percent.
Eurozone inflation increased in June on food and energy prices, flash data from Eurostat showed Friday. Inflation rose to 2 percent in June, in line with forecast, from 1.9 percent in May. The European Central Bank's targets 'below, but close to 2 percent'.
Germany's retail sales decreased for the first time in seven months in May, figures from Destatis showed Friday. Retail sales decreased unexpectedly by 1.6 percent annually in May after climbing 1 percent in April. Sales were forecast to climb 1.9 percent.
Germany's unemployment rate remained at record low in June, reports said citing the Federal Labor Agency on Friday. The jobless rate held steady at 5.2 percent in June, the lowest since German reunification in 1990. The rate also matched economists' expectations.
Germany's import prices increased for the second straight month in May, data from Destatis showed Friday.
Import prices climbed 3.2 percent year-over-year in May, well above the 0.6 percent rise in April.
Data also showed that export prices grew 1.3 percent annually and by 0.5 percent monthly in May.
France's consumer price inflation accelerated in June on energy and food product prices, provisional estimate from the statistical office Insee showed Friday. Consumer price inflation rose to 2.1 percent in June from 2 percent in May. The rate came in line with expectations. Final data is due on July 12.
The UK economy expanded more than the previous estimate in the first quarter, data published by the Office for National Statistics showed Friday. Gross domestic product grew 0.2 percent sequentially in the first quarter, which was revised upward by 0.1 percentage points, reflecting improvement in construction output.
UK mortgage approvals increased to a 4-month high in May, the Bank of England said Friday. The number of loans approved for house purchases increased to 64,526 in May from 62,941 in April. This was the highest since January and above the expected level of 62,200.
UK consumer sentiment weakened in June largely on weak economic outlook, reports said citing survey data from market research group GfK, on Friday. The consumer confidence index fell to -9 in June from -7 in May. The score was forecast to remain unchanged at -7.
A report released by the Commerce Department on Friday showed personal income in the U.S. increased in line with economist estimates in the month of May, although the report also showed weaker than expected growth in personal spending.
The report said personal income climbed by 0.4 percent in May after edging up by a downwardly revised 0.2 percent in April.
Economists had expected income to rise by 0.4 percent compared to the 0.3 percent increase originally reported for the previous month.
Meanwhile, the Commerce Department said personal spending rose by 0.2 percent in May after climbing by a downwardly revised 0.5 percent in April.
Personal spending had been expected to increase by 0.4 percent compared to the 0.6 percent growth originally reported for the previous month.
Chicago-area business activity unexpectedly grew at a faster rate in the month of June, according to a report released by MNI Indicators on Friday.
MNI Indicators said its Chicago business barometer climbed to 64.1 in June from 62.7 in May, with a reading above 50 indicating growth. Economists had expected the index to drop to 60.0.
In commodities, crude oil futures for July delivery are up 0.81 or 1.10 percent at $74.26 a barrel.
Natural gas for July is down 0.016 or 0.54 percent at $2.924 per million btu.
Gold futures for August are up 1.10 or 0.09 percent at $1,252.10 an ounce.
Silver for July is up 0.089 or 0.55 percent at $16.13 an ounce.
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