By Carla Mozee, MarketWatch
LOS ANGELES (MarketWatch) -A rise in the energy group helped lift Canada's equity benchmark on Friday, with an upgrade of several energy stocks able to offset the impact of weaker energy prices.
The S&P/TSX Composite Index (CA:ISPTX 11,408, +46.92, +0.41%) rose 47 points, or 0.4%, to 11,407.68, recouping a portion of the 0.7% that it lost in Thursday's session. The index finished the week up 1.4%, the second consecutive weekly gain.
In Toronto, the energy index rose 1.2%, with shares of Nexen (CA:NXY 25.93, +0.56, +2.21%) up 2.2% and Suncor Energy (CA:SU 36.89, +0.45, +1.23%) higher by 1.2%. The shares were among those that were upgraded at Bank of America/Merrill Lynch. Nexen, Suncor and Talisman Energy (CA:TLM 18.27, -0.07, -0.38%) were raised to buy from underperform. But shares of Talisman finished with a loss 0.4%.
The overall advance among energy stocks came despite a 0.8% fall in oil prices to $76.35 a barrel on the New York Mercantile Exchange. The outlook for energy demand weakened following a U.S. consumer-sentiment report that fell short of expectations. The Reuters/University of Michigan index showed consumer sentiment earlier this month fell to 66.0, missing expectations for a rise to 71.8.
Gold stocks found higher ground as gold prices rose 0.9% to $1,116.70 an ounce as the U.S. dollar weakened. Also providing support was news that Vietnam has lifted its ban on imports of the precious metals.
Shares of Barrick Gold (CA:ABX 45.10, +0.85, +1.92%) rose 1.9%, Yamana Gold (CA:YRI 13.39, +0.48, +3.72%) gained 3.7% and Iamgold (CA:IMG 19.40, +1.42, +7.90%) shares jumped 7.9%.
Gold for December delivery finished the week up nearly 2%. Read more about gold prices.
The financial group, however, fell 0.3%, with shares of Power Corp. of Canada (CA:POW 26.33, -0.68, -2.52%) down 2.5%. The conglomerate said third-quarter profit fell 25% to C$250 million, or 52 cents a share. Operating earnings at the holding company were 53 Canadian cents, below the forecast of 61 cents a share from analysts polled at Thomson Reuters.
Elsewhere, shares of Research In Motion (CA:RIM 65.95, -0.68, -1.02%) fell 1% following Dell Inc.'s (DELL 15.40, -0.05, -0.32%) announcement Friday it will enter the wireless business, starting with the launch its new Mini 3 smartphones in China and Brazil. Also, RIM competitor Palm Inc. (PALM 12.46, +0.06, +0.48%) will launch its latest smartphone on Sunday.
The Canadian dollar gained ground against the greenback on Friday, with one U.S. dollar buying C$1.048 compared with C$1.0540 on Thursday. The dollar index (DXY 75.33, -0.26, -0.35%) fell 0.4%.
