Roundup: Canadian stock market extends gains on financials, metals rally

Canada's main stock market in Toronto Wednesday advanced for a third straight day as financials and metals shares boosted the trading sentiment.

Toronto Stock Exchange's benchmark Standard & Poor's/TSX Composite Index edged up 49.94 points or 0.33 percent to 15,154.68 points.

The index gained momentum after the country's biggest lender Royal Bank of Canada (RBC) struck an upbeat tone about domestic economy in a report.

According to the RBC Economic and Financial Market Outlook released Wednesday by RBC Economics, the forecast for Canada's economy reflects positive expectations for consumption and housing, and strong domestic spending will in turn provide a solid contribution to growth in 2015.

Financials, the most weighed sector, advanced 1.03 percent, hitting a nearly two-week high on the closing bell, as Canada's six biggest banks were in the rising streak. Royal Bank of Canada jumped 1.44 percent to 80.27 Canadian dollars (about 64.46 U.S. dollars), and Toronto-Dominion Bank was up 0.99 percent to 54.9 Canadian dollars per share.

Metals and mining increased 1.62 percent, aided by its heavyweight First Quantum Minerals Ltd. that soared 5.09 percent to 17.97 Canadian dollars apiece.

Other influential movers in the eight TSX sectors included Info Tech and Health Care, up 1.01 percent and 0.58 percent respectively.

However, the energy sector, down 1.03 percent, was the biggest loser, when the oil prices lost ground Wednesday on supply glut worries. The major portfolio indicator light, sweet crude for July delivery plunged 1.62 U.S. dollars to settle at 59.64 U.S. dollars a barrel on the New York Mercantile Exchange, while Brent crude for July delivery decreased 1.69 dollars to close at 63.8 dollars a barrel.

Most of the oil and gas companies were in the negative territory. Canadian Natural Resources Ltd. dropped 1.33 percent to 37.98 Canadian dollars, and Husky Energy Inc. dived 2.93 percent to 24.22 Canadian dollars per share.

On the economic front, Canada's merchandise trade deficit with the world narrowed from 3.9 billion Canadian dollars in March to 3. 0 billion Canadian dollars in April, Statistics Canada said on Wednesday.

However, the deficit was larger than expected and investors were still concerned about Canada's export recovery in the second quarter, after the federal agency said that exports declined to 41. 9 billion Canadian dollars in April, the seventh decline since July 2014.

On the currency front, weighed by Canada's disappointing export data, the Canadian dollar Wednesday was lower to 0.8030 U.S. dollar from 0.8059 U.S. dollar on Tuesday. Endite