Toronto Stock Prices Rise, Bolstered by Jobs Data

   By Ezequiel Minaya 
 

Canadian stock prices rose Friday, bolstered by the country's lower-than-expected unemployment rate and gains in the U.S. stock market.

The S&P/TSX Composite Index rose 125.28 points, or 0.9%, to 14259.84. Advancers outnumbered decliners 1,209 to 397. Trading volume was 359.2 million shares.

The blue-chip S&P/TSX 60 Index dropped 6.51 points, or 0.8%, to 827.27.

Canada's unemployment rate edged lower in June, but the underlying details of the jobs report offered a mixed picture, as fewer people searched for work and amid a sharp shift to part-time positions.

Friday's jobs report comes less than a week before the Bank of Canada releases its next interest-rate decision. Many economists expect the Bank of Canada to keep rates on hold again next week. "Paired with the weakness in international trade released earlier this week, we expect the Bank [of Canada] to take on a more dovish tone when they meet next week," TD Securities economist David Tulk said.

The Canadian numbers came alongside strong U.S. employment data for the same month. U.S. employers added 287,000 jobs in June, the strongest month of hiring since October. The U.S. data contributed to the S&P 500 closing near record highs.

In Canada, gold companies were among the biggest gainers. Yamana Gold Inc rose 4.6% and Eldorado Gold Corp. increased 5%. Energy companies were also among the top climbers. Cenovus Energy Inc. added 4.3% and Encana Corp. rose 3.2%.

Telecommunication companies were among the leading losers. Rogers Communications Inc. and Telus Corp. each fell 0.8%.

Among other companies making notable moves were Sandvine Corp. and Empire Co. Sandvine climbed 5.9%, adding to Thursday's 11% gain, after solid second-quarter results.

Empire, parent of grocery chain Sobeys Inc., said Chief Executive Marc Poulin has left the company effective immediately. It named its chief financial officer to succeed Mr. Poulin on an interim basis. The change comes just weeks after Empire posted a hefty fourth-quarter loss, hurt by challenge in its operations in Western Canada. The company's stock rose 5.1%.

Write to Ezequiel Minaya at [e-mail]

(END) Dow Jones Newswires

July 08, 2016 16:55 ET (20:55 GMT)

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