Stocks End Strong Quarter With Modest Gain -- Canadian Commentary

(RTTNews) - Canadian stocks continued to rise Friday, ending a strong quarter with another solid performance despite ho-hum economic data.

After rising for eight consecutive months, Canada's real gross domestic product was essentially unchanged in July as 11 of 20 industrial sectors grew, Stats Canada reported.

Goods-producing industries contracted 0.5%, the first decrease in five months, largely as a result of declines in mining, quarrying and oil and gas extraction and in manufacturing.

Still, the TSX Composite Index rose 16.69 points to 15,634.94 today, extending weekly gains to reach the highest since May.

Stocks have been on a roll since the Bank of Canada signaled it won't raise interest rates for the time being.

The TSX Composite has surged above 15,600, the highest since May.

Bombardier (BBD.B.TO) is selling up to 50 turboprops to India's SpiceJet for up to $US1.7 billion. It's the second big order announced by the company since hit with duties on U.S. exports early in the week.

Also, German industrial company Siemens AG on Tuesday agreed to merge its rail operations with French train maker Alstom SA instead of Bombardier.

Valeant Pharmaceuticals International, Inc. (VRX, VRX.TO) said that it has completed the sale of the iNova Pharmaceuticals business to a company jointly owned by funds advised and managed by Pacific Equity Partners and The Carlyle Group for $930 million in cash.

Nov. WTI oil climbed 11 cents, or 0.2%, to settle at $51.67/bbl. Prices were up for the week, month and quarter.

The front month contract was up 7.6% for September and about 10.5% for the quarter.

The active U.S. rigs drilling for oil rose for the first time in four weeks, by 6 to 750 this week, according to Baker Hughes. The total active U.S. rig count, which includes oil and natural-gas rigs, also climbed by 5 to 940.

U.S. personal income and spending both rose in line with economist estimates in the month of August, according to a report released by the Commerce Department on Friday. The Commerce Department said personal income edged up by 0.2 percent in August after rising by a downwardly revised 0.3 percent in July.

Consumer sentiment in the U.S. deteriorated by slightly more than initially estimated in the month of September, the University of Michigan revealed in a report on Friday. The report said the consumer sentiment index for September was downwardly revised to 95.1.