Equities in Canada’s largest centre reversed course to edge up on Friday, helped by gains in energy and materials, though concerns over rate hikes persisted after a U.S. jobs report indicated a resilient labor market.
The TSX gained 64.9 points to move into noon hour EDT Friday at 19,875.59.
The Canadian dollar recovered 0.39 cents to 75.20 cents U.S.
The index eyes a weekly decline, after gaining close to 4% last week, as volatile commodity prices and prospects of more monetary policy pain weighed.
Hudbay Minerals gained 33 cents, or 5.3%, to $6.43, after its CEO said the miner was open to acquisition offers at the “right price”.
Economically speaking, Statistics Canada reported employment increased by 60,000 in June, driven by gains in full-time work. The unemployment rate, however, rose to 5.4%.
What’s more, the IVEY PMI measured 50.2 in June, less than May’s 53.5, and less than the 53.8 reading in June 2022.
ON BAYSTREET
The TSX Venture Exchange moved higher 1.52 points to 616.74.
Eight of 12 TSX subgroups had forged higher, with health-care leading the pack, up 1%, gold, better 0.8%, and materials up 0.7%.
The four laggards were weighed most by utilities, down 0.8%, while communications and industrials each off 0.5%.
ON WALLSTREET
Stocks wobbled on Friday but headed for a losing week after a slightly weaker-than-expected June jobs report failed to subdue fears that the Federal Reserve may start hiking rates again.
The Dow Jones Industrials decreased 50.71 points to break for lunch Friday at 33,871.55.
The S&P 500 eked up 4.29 points to 4,415.88.
The NASDAQ index recovered 47.35 points to 13,726.58.
All three major averages are headed for a losing week. The S&P 500 is off by about 0.8%, while the NASDAQ is on pace for a 0.5% decline. The Dow is the underperformer of the three, tracking for a 1.5% loss.
The U.S. Labor Department’s June jobs report showed payrolls increase less than expected and a cooldown in growth from May. Non-farm payrolls rose by 209,000, while the unemployment rate came in at 3.6%. Economists polled by Dow Jones had anticipated 240,000 positions added and a similar jobless level.
But parts of the report may give the Federal Reserve reason to resume hiking later this month. The closely watched wages numbers came in slightly stronger than expected. Average hourly earnings increased by 0.4% in June and 4.4% from a year ago. Meanwhile, the unemployment rate declined from 3.7% in May.
Prices for the 10-year Treasury were static, keeping yields at Thursday’s 4.04%.
Oil prices gained $1.22 to $73.02 U.S. a barrel.
Gold prices regained $21.10 to $1,936.50 U.S. an ounce.