Canadian Stocks Rise as Gold Miners Offset Drop in EnergyOliver Renick
Canadian stocks rose, with the benchmark gauge paring its worst weekly drop since May, as gains among gold miners offset a slump in energy stocks.
Barrick Gold Corp. jumped 3.8 percent and IamGold Corp. climbed 3.6 percent as miners rallied. Crew Energy Inc. and Legacy Oil + Gas Inc. dropped at least 3.7 percent as energy shares slid 1 percent as a group. Parex Resources Inc. surged 17 percent after saying its oil and gas reserves had increased.
The Standard & Poor’s/TSX Composite Index rose 0.1 percent to 15,125.50 at 4 p.m. in Toronto. The gauge has fallen 0.6 percent this week, the most since May 30, after closing at a record on July 9.
Canadian employment unexpectedly fell in June, with the second decline in three months led by the biggest drop in part-time work in almost two years. The country’s dollar fell with the last major data before Bank of Canada Governor Stephen Poloz’s July 16 interest-rate decision supporting his view there is plenty of slack in the world’s 11th largest economy.
Seven of the 10 main groups in the benchmark gauge rose today. Gold miners led raw-materials producers higher as the precious metal capped the longest run of weekly gains since 2011.
Barrick Gold jumped 4.8 percent to C$20.71 and IamGold rose 3.6 percent to C$4.36.
Parex Resources jumped 17 percent to a record C$14.87. The oil and gas explorer increased its proved plus provable reserves by 80 percent. At least two research firms, including Desjardins Securities, raised their rating on the stock.
Energy stocks lost the most, as West Texas Intermediate crude dropped to an eight-week low and capped a third weekly decline.
Crew Energy fell 3.7 percent to C$10.95 and Legacy Oil + Gas lost 3.8 percent to C$8.59. Painted Pony Petroleum Ltd. retreated 5.1 percent to C$12.17, the lowest in a month.