Toronto stocks recovered from their earlier malaise to end higher on Friday as strength in the resource sector helped the market shake off tech weakness after news that two top Nortel Networks executives had resigned. The Toronto Stock Exchange's S&P/TSX composite index closed up 26.55 points, or 0.27 percent, at 9,790.09. Volume was 225.9 million shares worth C$3.41 billion.
On the week, the index gained 1.23 percent.
"All the oil stocks are flying," said Julie Brough, senior advisor at Morgan Meighen & Associates. "But we also saw strength in some of the financials, which helped carry it. It was a nice broad-based day."
Trading was flat to negative for much of the session, but the market pulled higher late in the day as commodity stocks strengthened.
The energy sector rose 1.64 percent while the materials group gained 1.68 percent, buoyed by higher bullion prices.
Overall, five of the TSX's 10 main subgroups closed up including the industrials, telecoms and utilities sectors.
Energy gainers included EnCana Corp, which rose C$1.07 or 2.22 percent, to C$49.20, a 52-week high, and Husky Energy, which climbed C$1.25, or 2.82 percent, to C$45.60.
In the materials group, base metal miners posted strong gains, led by Inco Ltd, which rose C$1.17, or 2.46 percent, to C$48.65.
Among gold issues, Glamis Gold was up C$1.11, or 5.9 percent, to C$19.92 while Placer Dome rose 81 Canadian cents, or 4.68 percent, to C$18.13.
The tech sector dropped 3.47 percent led by telecoms equipment maker Nortel.
The company said its chief operating officer and president, Gary Daichendt, had resigned after just three months on the job over differing views with chief executive Bill Owens. Chief technology officer Gary Kunis is also leaving the company.
Nortel shares fell 32 Canadian cents, or 9.01 percent, to C$3.23. Close behind was Research In Motion, maker of the BlackBerry e-mail device, which suffered from Thursday's news that it had reopened its legal battle with NTP Inc, raising concerns about a potentially damaging patent dispute.
RIM shares closed down C$2.69, or 2.9 percent, at C$90.20.
Market momentum was positive with 752 advancers and 583 decliners. The blue chip S&P/TSX 60 index was up 1.14 points, or 0.21 points, to 548.51.
"We had a really solid week," Brough said. "So there is some momentum going into (next week). But, at the same time, we're hitting the top end of a trading range so there is going to be some resistance."
Strong domestic economic data also supported the market.
The economy created 35,400 jobs in May, nearly three times more than forecast. But the jobless rate held steady at 6.8 percent because more people entered the workforce. Meanwhile, Canada's trade surplus rose to C$5.1 billion ($4.1 billion) in April, topping analyst forecasts for C$4.4 billion.
In New York, the Dow Jones industrial average was up 10.27 points, or 0.10 percent, at 10,513.29. The Nasdaq composite index was down 13.62 points, or 0.66 percent, at 2,063.29. Tech stocks fell after Intel Corp, the world's largest chipmaker, raised its second-quarter outlook by less than some investors had hoped.
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