Toronto stock market moves higher as gold, crude oil strengthen

By David Friend, The Canadian Press

TORONTO - The Toronto stock market lifted higher shortly after the opening bell as commodities picked up the pace.

The S&P/TSX composite index was ahead 84.58 points to 11,241.03 after gaining 154.83 points Thursday.

The Canadian dollar was at 92.91 cents US, rising 0.20 of a cent.

On the upside were TSX gold stocks, which gained 1.07 per cent as the December bullion contract picked up $12.70 to US$1,009.50 on the New York Mercantile Exchange.

And energy stocks were lifted two per cent after oilpatch giant EnCana Corp. (TSX: ECA.TO) announced it is reviving plans to split into two distinct oil and gas companies now that some optimism appears to be returning to the global economy. EnCana shares were up $3.51 to $62.85.

The October crude contract on the Nymex moved up 53 cents to US$72.47 a barrel.

On Wall Street, the Dow Jones industrial dipped one point to 9,626. The Nasdaq composite index was also down a point to 2,083 while the S&P 500 index gained a point to 1,046.

Investors will get readings on U.S. consumer sentiment and wholesale inventories and sales shortly after the market opens as they hunt for further clues about an economic rebound.In other corporate developments, Canwest Global Communications Corp. (TSX: CGS.TO) said Thursday that its Canwest Limited Partnership subsidiary has agreed to pay all outstanding interest and fees due under the senior credit facility. Shares rose half a penny to 13.5 cents.

Xceed Mortgage Corp. (TSX: XMC.TO) shares popped 15 per cent after the company, originally a specialist in lending to home buyers who don't qualify for loans from Canada's big financial institutions, said it would move forward with plans to become a deposit-taking bank. Shares were up 26 cents to $1.95.

Overseas markets were buoyed by strong reports out of China about industrial output, investment, loans and retail sales. Japan's market was one of the few to decline amid worries about the weakening dollar against the yen, which could pressure exporters revenues.

Other countries have also signalled growth is under way or just beginning to bloom. Canada's central bank indicated Thursday it sees growth outpacing its earlier forecasts as it maintained interest rates as low as they can go. Brazil's government said Friday it has emerged from recession with a report of second-quarter economic growth.

Britain's FTSE 100 rose 0.9 per cent, Germany's DAX index gained 0.8 per cent, and France's CAC-40 rose 1.1 per cent.