(MENAFN- ProactiveInvestors) Canadian shares advanced for the fifth day in six led by energy producers as data showed the world’s eleventh-largest economy grew faster than forecast last quarter and the U.S. Commerce Department raised its third-quarter growth estimate.
The resource-heavy benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.9 percent to 14560.85 at 12:14 p.m. in Toronto. More than 9 stocks gained for every share that lost as 9 out of the 10 major industries were up. The 250-company gauge has gained 6 percent this year.
Canada’s economy rose 0.3 percent in October on gains in the public sector and commodity production ahead of economists’ estimates. The highest forecast was 0.2 percent. In the U.S. third-quarter growth was revised up to its quickest pace in more than a decade.
The energy sector the main index's second most heavily weighted group rose 1.1 percent as oil Canada’s largest export advanced. Energy (TSE:SU) Canada's largest oil sands producer rose 1.5 percent to $37.44. () the country's second-largest oil and gas company added 1.6 percent to C$36.63.
Encana () rose 1.1 percent to $15.89 after Canada’s largest natural gas producer agreed to sell certain facilities in the Montney reserve it owns jointly with a Mitsubishi (TYO:8058) unit to Veresen Midstream LP for C$412 million.
(TSE:SCL) which provides coatings and other services to the pipeline industry was down 0.1 percent after expecting to incur an after-tax impairment charge of up to C$80 million in the fourth quarter.
() climbed 4.4 percent to $9.08. It became one of the latest Canadian oil producers to trim its 2015 capital-spending budget due to the slump in oil prices. Northern Blizzard cuts its capital program by 40 percent to C$130 million.
West Texas Intermediate for February delivery increased 1.6 percent to $56.16 a barrel at 11:33 a.m. on the New York Mercantile Exchange. Brent for February settlement gained 0.8 percent to $60.61 a barrel on the London-based ICE Futures Europe exchange. Oil advanced after economic growth in the U.S. the world’s biggest crude-consuming nation surged at the fastest pace in more than a decade in the third quarter.
The materials sub-index which includes mining shares rose 2 percent even as gold futures fell for the second straight day. (TSE:ABX) rose 1.6 percent to C$12.21 paring this year’s tumble to 35 percent. (TSE:G) tacked on 2.9 percent to C20.77.
Gold futures for February delivery fell 0.1 percent to $1178.60 an ounce at 11:05 a.m. on the Comex in New York. Bullion dropped as the U.S. economy expanded more than estimated crimping demand for the precious metal as an alternative investment.
Financials the index's most heavily weighted sector edged up 0.7 percent. () which has the heaviest weighting in the index rose 0.9 percent to C$80.15. Toronto-Dominion Bank (TSE:TD) the second-largest bank by market value gained 1.1 percent to C$55.02 stretching this year’s rally to 13 percent.
The junior () inched up 0.4 percent to 670.84 at 12;15 p.m. in Toronto. The 405-company measure where energy and materials producers account for approximately 70 percent of its weighting have lost 28 percent this year.
In currency the Canadian dollar traded at almost a five-year low after a report showed the economy of the U.S. the nation’s biggest trade partner surged the most in a decade in the third quarter outpacing gains in Canada. The loonie depreciated as much as 0.3 percent to C$1.1667 per dollar before trading at C$1.1626 at 11:59 a.m. in Toronto. It reached C$1.1674 on Dec. 15 the weakest level since July 2009. One loonie buys 86.01 U.S. cents.
In the U.S. market shares rose as a surge in economic growth overshadowed a drop in health-care shares. The S&P 500 (INDEXSP:.INX) rose 0.2 percent at 11:40 a.m. in New York. The 30-company Dow Jones Industrial Average (INDEXDJX:.DJI) gained 0.5 percent while the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) slid 0.1 percent. Most followed shares included Keurig Green Mountain Kimberly-Clark Steelcase Holdings Radian Group and .
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