Roundup: Canadian stock market recovers following U.S. Fed Chair's speech

Canada's main stock market in Toronto on Friday slightly bounced up from a three-day slump as investors' concerns about the slowing global growth were eased after the U.S. Federal Reserve Chair Janet Yellen's speech.

The Toronto Stock Exchange's benchmark Standard & Poor's/TSX Composite Index slightly bounced up 39.90 points, or 0.3 percent, to close at 13,378.57 points.

In a speech Thursday, Yellen said that the U.S. central bank was on track to raise interest rates in the coming months of this year, which eased traders' concerns about slowing global growth.

Five of the eight major sectors were in the positive territory as the most influential sector Financials was higher 0.95 percent when Manulife Financial Corp. rallied 1.52 percent to 20.72 Canadian dollars (about 15.56 U.S. dollars) a share and Toronto-Dominion Bank gained 1.16 percent to 51.61 Canadian dollars per share.

"The vote of confidence on the part of Yellen contributed to equity market gains on Friday," according to a report issued by TD Bank Friday, and the U.S. real gross domestic product (GDP) increased at an annual rate of 3.9 percent in the second quarter of 2015, which showed the economy in better health.

In the latest interest rate announcement on Sept. 9, the Canadian central bank also highlighted that a firm recovery in the U.S. economy, with particular strength in its sectors, which is important for Canadian exports.

In other sectors, Industrials advanced 1.66 percent when Bombardier, Canada's biggest aircraft and railway maker spiked 8.9 percent to 1.59 Canadian dollars per share. However, the struggling transportation giant are suffering finance turmoils including cash flow problems, and its share prices had been continuously plunging since the beginning of this year.

And Energy was slightly higher 0.41 percent when Suncor Energy Inc. added 1.71 percent to 35.07 Canadian dollars.

By contrast, Health Care shed 4.76 percent as its leading player Valeant Pharmaceuticals International Inc. lost 4.91 percent to 265.01 Canadian dollars a share.

The mining sector was still in the red by 1.35 percent when Teck Resources Ltd. plummeted 4.26 percent to 6.52 Canadian dollars a share.

On the domestic economic front, investors are waiting for the GDP data of July, which is to be released by Statistics Canada next Wednesday. Some analysts predicted that the data should be good as many of the advance indicators pointed higher.

On the currency front, the Canadian dollar on Friday closed flat at 0.7510 U.S. dollar, when compared with 0.7509 U.S. dollar Thursday. Endit