| Stocks Start Abbreviated Session On Upbeat Note
Stocks moved higher at the start of trading on Friday, adding to the modest gains posted in the previous session. The major averages showed notable moves to the upside, although buying interest has waned since the open.
The major averages have not seen much follow-through on their initial upward move but remain firmly positive. The Dow is up 60.60 points or 0.5 percent at 12,897.49, the Nasdaq is up 19.36 points or 0.7 percent at 2,945.91 and the S&P 500 is up 6.69 points or 0.5 percent at 1,397.72.
The initial strength on Wall Street came as traders continued to pick up stocks at reduced levels following the sell-off that has been seen in the weeks since the elections.
Positive sentiment was also generated by a report from the Ifo Institute showing an unexpected improvement in German business confidence in the month of November.
The headline business climate index rose to 101.4 in November from 100 in October, while economists had expected the index to fall to 99.5.
Investors are also keeping an eye on developments in the retail sector, attempting to gauge the strength of the holiday shopping season on reports regarding the Black Friday crowds.
A number of retailers opened their doors even earlier than usual this year in order to increase sales on what is already one of the busiest shopping days of the year.
Trading activity is likely to be subdued, however, as many traders remain away from their desks following the Thanksgiving Day holiday on Thursday. The abbreviated trading session, which ends at 1 pm ET, is also likely to lead to light volume.
Nonetheless, significant strength has emerged among networking stocks, as reflected by the 2.8 percent gain being posted by the NYSE Arca Networking Index. Alcatel-Lucent (ALU) has helped to lead the sector higher, surging up by 14.5 percent.
Tobacco, semiconductor, and computer hardware stocks are also seeing early strength, while most of the major sectors are showing only modest moves.
In overseas trading, stock markets across the Asia-Pacific region closed mostly higher on Friday, although the Japanese market was closed for a public holiday. Hong Kong's Hang Seng Index and China's Shanghai Composite Index advanced by 0.8 percent and 0.6 percent, respectively.
The major European markets have also moved to the upside. While the German DAX Index has risen by 0.6 percent, the U.K.'s FTSE 100 Index and the French CAC 40 Index are both up by 0.4 percent.
In the bond market, treasuries are showing a lack of direction after trending lower over the past few days. The yield on the benchmark ten-year note is unchanged at 1.687 percent. | Canadian Market |  | | CADUSD | Oil | Gold | Allbanc |  |  |  |  | | Please click on the images to view our interactive charts | | | TSX Flat At Open Friday
Bay Street stocks were little changed at open Friday as gauges of most sectors were stuck in the mud, resulting in a modest gain for Toronto's main index. The S&P/TSX Composite Index edged up 9.89 points or 0.08 percent to 12,162.99.
Among base-metals stocks, First Quantum Minerals and Inmet Mining were adding around 1 percent each, while Teck Resources was slipping 0.50 percent.
Among gold plays, Allied Nevada Gold and Yamana Gold were up nearly 2 percent each.
In the oil patch, Bonterra Energy rose close to 1 percent.
Oil transportation company Enbridge Inc. added about 1 percent after it said that its subsidiary, Enbridge Pipelines Inc., has reached agreement with shippers on the terms of a $1.8 billion expansion of its mainline system between Edmonton and Hardisty, Alberta.
On the other hand, Cenovus Energy, Husky Energy and Vermilion Energy were down around 1 percent each.
Meanwhile, Research In Motion was paring its previous session's large gains, shedding 4 percent.
The price of crude oil was moving higher Friday morning, amid thin volumes, as traders shift their focus to EU meeting in Brussels. Further, trading volumes were very low as U.S. market participants still out for the Thanksgiving holiday. Crude for January edged up $1.22 to $86.67 a barrel.
The price of gold was steady Friday morning amid speculation that a bailout deal for Greece was imminent. Gold for December delivery added $3.50 to $1,731.70 an ounce.
In corporate news from Canada, oil transportation company Enbridge Inc. said that its subsidiary, Enbridge Pipelines Inc., has reached agreement with shippers on the terms of a $1.8 billion expansion of its mainline system between Edmonton and Hardisty, Alberta.
In economic news, Statistics Canada said consumer prices rose 1.2 percent year-over-year in October, matching the increases in August and September. Energy prices rose at a slower year-over-year rate in October compared with September, while air transportation, food purchased from stores and property taxes posted larger price gains. Economists expected inflation to come in at 1.1 percent. On a seasonally adjusted monthly basis, the CPI increased 0.3 percent in October, after rising 0.2 percent in September. Meanwhile, The Bank of Canada's core index rose 1.3 percent in the 12 months to October, matching the increase in September. |
| European Market | | | | FTSE 100 | Euronext | Dax perf | CAC 40 |  |  |  |  | | Please click on the images to view our interactive charts | | | European Markets Seek Direction
The European markets are trading on a lackluster note on Friday, amid indications that the EU meeting in Brussels on the region's long-term budget may not reach a deal due to disagreement among member states.
"Positions are quite far apart," German Chancellor Angela Merkel told reporters after the first session of the meeting on Thursday. There should be some progress, but may need to push the talks further to a second stage for a final agreement, Merkel said.
French President Francois Hollande said it is more likely that the meeting will not reach a deal on Friday.
The German business confidence improved unexpectedly in November, survey results from the Ifo Institute revealed. The headline business climate index rose to 101.4 in November from 100 in the previous month, reports said. Economists expected the reading to fall to 99.5.
The German economy expanded in the third quarter of 2012 in line with the preliminary estimates, largely supported by foreign demand as well as domestic consumption, a detailed report from the Federal Statistical Office showed.
France's business confidence improved more than economists expected in November, but the overall industrial economic situation remained negatively oriented, data from Insee showed. The headline business confidence index rose to 88 from 85 in October. Economists were looking for a rise to 87.
IHS Global Insight Chief UK and European Economist Howard Archer has said that the renewed deterioration in Eurozone's consumer confidence adds to concerns that the region's economy is likely heading for a deeper contraction in the fourth quarter.
The Euro Stoxx 50 index of eurozone bluechip stocks is losing 0.25 percent, while the Stoxx Europe 50 index, which includes some major U.K. Companies, is falling 0.05 percent.
The German DAX and the French CAC 40 are losing around 0.1 percent each. The UK's FTSE 100 is gaining 0.1 percent while the Swiss Market Index is advancing 0.2 percent.
In Frankfurt, SMA Solar is gaining 1.2 percent. The stock was raised to ''Neutral'' from ''Underweight'' at HSBC. Commerzbank is declining 2.8 percent. Utilities EON and RWE are dropping 2.2 percent and 1.6 percent, respectively. Infineon Technologies is falling 1.4 percent after a broker downgrade. Nomura cut Metro to ''Neutral'' from ''Buy.'' The stock is down 1.7 percent. Fraport is falling 2.7 percent. HSBC cut the stock to "Underweight'' from ''Neutral.''
In Paris, EADS is falling 2.1 percent on reports that Germany will buy the company's shares from France. Grocery retailer Carrefour is dropping 2 percent and France Telecom is falling 1.2 percent. Berenberg cut Danone to ''Sell'' from ''Hold.'' The stock is unchanged.
On the gaining side is EDF, which is rising 3 percent. Cement giant Lafarge and carmaker Renault are advancing 1.3 percent and 0.7 percent, respectively.
In London, Hotels and pubs operator Fuller, Smith & Turner reported increases in profit and revenue for the first half of the year, and hiked its dividend. The stock is gaining around 1 percent.
Sweett Group is surging 10 percent. The property and infrastructure professional services firm reported a turnaround to profit in its first half, helped by disposal of investments.
Bucking the trend, Wm Morrison Supermarkets is declining 1.7 percent and Polymetal International is dropping 1.5 percent.
Ahold, which received a broker upgrade, is gaining 2 percent in Amsterdam. Outotec is surging 6.2 percent in Helsinki on robust outlook. |
| Asia Market | | Asian Stocks Broadly Higher On Greek Optimism
Asian stocks rose broadly on Friday, as underlying sentiment remained slightly positive after EU officials expressed confidence that an agreement could be reached on Greek aid at next Monday's meeting in Brussels.
German Finance Minister Wolfgang Schaeuble reiterated his resistance to any haircut on Greek debt, suggesting that such action toward any debt held by the public sector would lead to nowhere. E.U. economics commissioner Olli Rehn also told the European Parliament that he saw no reason why Eurozone national governments cannot conclude an accord on releasing funds to Greece.
Trading activity remained relatively subdued on the eve of the Thanksgiving holiday in the U.S. and Labor Thanksgiving Day in Japan.
China's Shanghai Composite index rose 0.6 percent and Hong Kong's Hang Seng index extended gains for a third consecutive session to end up 0.8 percent, driven by talk of reforms to deepen social and economic development and avoid the economic stagnation associated with middle-income countries.
Chinese vice Premier Li Keqiang, also a member of the Standing Committee of the Political Bureau of the Communist Party of China (CPC) Central Committee, pledged to deepen reforms, calling for pioneering measures and a bigger role for the market amid medium-speed growth in the long term.
Australian shares pared early losses to end on a flat note as investors remained on the sidelines amid lack of trading cues from the U.S. and Japanese markets. Both the benchmark S&P/ASX 200 and the broader All Ordinaries index ended marginally lower at 4,413 and 4,431, respectively.
Miners ended mixed, with BHP and Rio Tinto rising about 0.2 percent each and gold miner Newcrest edging up marginally, while Fortescue, which has had its East Pilbara iron ore operations caught in disputes over conflicting information, tumbled 3.2 percent.
Ausdrill shares slumped 15 percent after the mining company issued a profit warning, citing a slowdown of activity in the iron ore and coal sectors as well as a slowdown of operations in Burkina Faso. Rare-earth producer Lynas soared 6.7 percent on a brokerage upgrade. Among the major banks, NAB edged down marginally and ANZ fell 0.6 percent, but Commonwealth and Westpac added about half a percent each.
Seoul shares rose notably, led by heavyweight Samsung Electronics ahead of the year-end shopping season. The benchmark Kospi average rose 0.6 percent to end above the 1,900 level for the first time in nearly two weeks. Shares of Samsung closed up 1.4 percent at a record high after ratings agency Fitch cut the debt ratings of Japanese consumer electronics makers Sony Corp and Panasonic Corp to "junk" status, citing their weak balance sheets and fierce competition from Korean rivals Samsung and LG Electronics.
New Zealand shares rose, lifting the benchmark NZX-50 index up 0.3 percent above the 4000 level. Fletcher Building, the nation's largest construction company, rose 1.9 percent, extending recent gains, retailers Hallenstein Glasson Holdings and Pumpkin Patch gained about 2 percent each, telephone network utility Chorus added 1.5 percent and Xero, the cloud accounting platform maker, advanced 1.4 percent, while Precinct Properties fell 2.5 percent after losing a contract to lease up to 60,000 square meters of office space to government.
Warehouse Group added 1.3 percent after the country's biggest listed retailer reiterated its earnings forecast for the current financial year, citing signs of growth in consumer spending.
Elsewhere, India's benchmark Sensex was last moving down half a percent after uproar over the issue of foreign investment in multi-brand retail in the Lok Sabha forced the Speaker to adjourn the House for the second day in a row, till Monday.
Indonesia's Jakarta Composite index was up 0.3 percent, while key benchmark indexes in Singapore and Malaysia were subdued. The Taiwan Weighted average climbed 3.1 percent after media reports said the island's finance minister has asked government-controlled funds to buy equities at lows. |
| Commodities | | | | USDCAD | USDEUR | USDGBP | USDJPY |  |  |  |  | | Please click on the images to view our interactive charts | | | Gold Steady On Euro Zone Hopes
The price of gold was steady Friday morning amid speculation that a bailout deal for Greece was imminent.
Gold for December delivery, the most actively traded contract, added $5.40 to $1.733.60 an ounce. Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were unchanged at 1,342.20 tons.
Meanwhile, the U.S. dollar was extending its 3-week low versus the euro, while moving higher against sterling. The buck was hovering around its 7-month high versus the yen and flat against the Swiss franc.
In economic news from the euro zone, German business confidence improved unexpectedly in November, the latest survey results released by the Ifo Institute showed. The headline business climate index rose to 101.4 in November from 100 in the previous month, reports said, citing the survey results. Economists expected the reading to fall to 99.5.
Meanwhile, a detailed report from the Federal Statistical Office showed that the German economy expanded in the third quarter of 2012 in line with the preliminary estimates, largely supported by foreign demand as well as domestic consumption.
The prices of silver and platinum were flat in morning deals. |
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