Canadian and U.S. stock market indexes moved in opposite directions on Friday morning, with investors digesting the implications of Thursday’s move by the Federal Reserve to raise its discount rate.
At the start of trading, the Dow Jones industrial average fell 27 points or 0.3 per cent, to 10,366. The broader S&P 500 fell 4 points or 0.3 per cent, to 1103.
Dell Inc. was one of the big drags, falling 6.1 per cent after the computer maker announced a 5 per cent dip in its fourth quarter earnings and striking a contrast to Hewlett-Packard Co.’s upbeat earnings announcement on Thursday.
However, the Canadian benchmark index benefited from rising gold prices, sending the S&P/TSX composite index up 10 points or 0.1 per cent, to 11,705.
Gold rose to $1117 (U.S.) an ounce, up 8. Goldcorp Inc. rose 0.9 per cent and Barrick Gold Corp. rose 1.1 per cent.
In other moves, Potash Corp. of Saskatchewan Inc. rose 0.5 per cent after the Canpotex marketing agency – which represents three major Canadian potash producers – announced a contract to sell potash to India at $370 per metric ton.
