TORONTO (Reuters) - A rebound in crude oil and bullion prices helped Toronto's benchmark stock index rise on Friday morning as gold-mining and oil and gas shares jumped.
Major producer Goldcorp Inc (G.TO) led the charge, gaining 1.6 percent to C$46.13, and Barrick Gold Corp (ABX.TO) added 0.8 percent to C$41.72 as the precious metal rose above $1,780 an ounce for the first time since late February.
Expectations that easier monetary policy would boost liquidity, keep long-term interest rates low, and stoke inflation fueled the bullion buying.
Oil companies also had a strong start, with Suncor Energy (SU.TO) up 0.6 percent at C$33.24 and Canadian Natural Resources (CNQ.TO) adding 0.8 percent to C$32.34 as concerns about crude supplies boosted the price of oil even as lackluster global economic growth kept demand subdued.
Investors said the feel-good effects of the U.S. Federal Reserve's stimulus moves last week were still present in the market, and that it would take a major negative shock to offset that.
"We had the wedding last week, opened the presents, and now the couple is on their honeymoon," said Baskin Financial portfolio manager Barry Schwartz. "There is not a lot of news to focus on until they're back from the honeymoon."
At 10:25 a.m. EDT (1420 GMT) the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 23.13 points, or 0.19 percent, at 12,432.11.
Helping sentiment was news that debt-plagued Spain is considering cost-cutting measures as it races to meet the conditions of a sovereign aid package.
Shares of Macdonald, Dettwiler and Associates (MDA.TO) moved 0.7 percent higher to C$51.95 after a U.S. government committee approved its purchase of Loral Space and Communications Inc's satellite manufacturing business. The deal still needs approval from U.S. antitrust regulators.
Shares in Research In Motion (RIM.TO) were down 5.6 percent at C$6.37 after it said it had suffered some service problems in Europe, just as its rival Apple Inc started selling its new iPhone around the world.
* U.S. stock futures,, were up around 0.28 percent to 0.46 percent .N
* European shares .FTEU3, were up .EU
COMMODITY PRICE MOVES
* Thomson Reuters-Jefferies CRB Index .CRB: 308.3; rose 0.45 percent
* Gold futures: $1,767.7; was unchanged 0 percent
* US crude: $93.17; rose 0.81 percent
* Brent crude: $110.85; rose 0.75 percent
* LME 3-month copper: $8,280; rose 0.12 percent
CANADIAN STOCKS TO WATCH
* MacDonald, Dettwiler and Associates Ltd. (MDA.TO: Quote): The U.S. Committee on Foreign Investment on Thursday approved Loral Space and Communications Inc's move to sell its satellite manufacturing business to rival MDA. [ID:nL1E8KL2WQ]
