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Investors anticipate another positive run of earnings from Canada's big banks this week. (CP Video)

Investors anticipate another positive run of earnings from Canada's big banks this week.

(CP Video)

At the open: TSX advances, New York closed for Memorial Day Add to ...

The Toronto stock market is higher amid hints about further stimulus measures for Europe and China.

The S&P/TSX composite index gained 33.41 points to 14,741.51. New York markets are closed for the U.S. Memorial Day holiday.

The Canadian dollar rose 0.06 of a cent to 92.06 cents (U.S.).

European Central Bank President Mario Draghi said the bank could engage in large-scale bond purchases to combat the negative spiral of low inflation if need be. Draghi’s remarks at a conference held out the prospect for action to stimulate the weak recovery at the ECB’s next governing council meeting June 5.

CP Video May. 26 2014, 6:14 AM EDT

Video: Traders optimistic ahead of bank earnings

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The meeting will take place against the background of a slow recovery in the 18 countries that share the euro currency and concern that Europe may fall into a crippling downward price spiral.

Also, remarks by Chinese Premier Li Keqiang suggested Beijing is preparing further mini-stimulus measures to support the economy. Li said appropriate policy tools and timely fine tuning are being prepared as the world’s second biggest economy continues to face “relatively big” downward pressure, the state-run China Daily newspaper said Saturday.

European markets ran ahead after Ukraine’s new president-elect promised to negotiate an end to a pro-Russia insurgency in the east and said he was willing to begin talks with Moscow. The offer from 48-year-old chocolate magnate Petro Poroshenko raised hopes that his election will indeed ease the protracted crisis that has fuelled tensions unseen since the end of the Cold War.

Frankfurt’s DAX gained 1.53 per cent while the Paris CAC 40 was ahead 0.48 per cent. London was also closed for a holiday.

The base metals sector led TSX advancers, up 0.65 per cent with copper prices improving in the wake of the Chinese premier’s comments. Commodity markets were closed in New York, but July copper gained two cents to $3.19 (U.S.) a pound in electronic trading.

The energy sector rose 0.13 per cent as July crude moved down 21 cents to $104.14 a barrel.

The gold sector was slightly higher while June bullion gained $1.40 to $1,293.10 an ounce.

Traders will focus on bank earnings and economic growth data during the week.

Investors will take in earnings from National Bank and Scotiabank on Tuesday, Bank of Montreal on Wednesday and CIBC on Thursday. Hopes are high for another series of solid reports after Royal Bank and TD Bank posted earnings reports last week that blew past expectations with strong contributions from major divisions and lower loan loss provisions.

Those bank earnings helped push the TSX up 1.33 per cent last week.

At the same time, traders will be looking for the latest growth data to see if the American economy actually contracted in the first quarter.

The first revision to U.S. gross domestic product data will be released on Thursday. The initial report showed growth coming in at a paltry 0.1 per cent as severe winter weather impacted the economy. But markets are braced for a worse reading that would show the U.S. economy shrank in the first quarter.

Meanwhile, Statistics Canada releases the latest gross domestic reading for March and the first quarter on Friday. Economists are looking for an annualized rise of 1.7 per cent for the quarter and 0.1 per cent for the month.

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