The paranoia over a possible rate hike in the U.S. has finally abated thanks to comments made today by Richmond Federal Reserve Bank President Alfred Broaddus. He said the Fed is “some distance” from implementing monetary policy that would choke off future inflation. The result was a mood of ebullience among most North American investors.

The Toronto S&P/TSX composite index closed up 58.18 points, or 0.67%, at 8,695.35 on volume of 219.4 million shares worth $3.1 billion.

For the week, the benchmark index lost 1.6% this week.

Ironically, Friday’s poor economic data also boosted stocks. Strong U.S. housing figures were offset by weak reports on U.S. industrial production and consumer sentiment. The University of Michigan said its preliminary index of consumer sentiment for April dipped to 93.2, down from 95.8 in March, due to worries about jobs, high gas prices and an escalation of violence in Iraq.

All but one of the TSX’s 10 subgroups finished higher. Gold stocks helped the Toronto market end on a positive note. The gold subgroup gained 1.16% as bullion prices rose on weakness in the U.S. dollar that hit after the economic data was released. Barrick Gold rose 40¢, or 1.37%, to $29.55 while Iamgold Corp rose 29¢, or 3.91%, to $7.70.

The mining subgroup jumped 4.08% on stronger commodity prices. Inco Ltd. rose $1.70, or 3.83%, to $46.13. Falconbridge Ltd gained $1.29, or 4.04%, to $33.25 after its first-quarter report beat forecasts.

Industrials contributed to the positive tone, rising 1.6% while health-care issues gained 0.93%.

Today’s losers were concentrated in the tech sector, which fell 1.95% on bad news from global tech bellwethers, Nokia and International Business Machines. IBM issued a disappointing first-quarter profit report and Nokia warned that its second-quarter earnings may not meet expectations.

The ripple hit Canadian tech stocks. In Toronto, Nortel Networks Corp fell 27¢, or 3.57%, to $7.30 while Research In Motion lost $2.43, or 1.76%, at $135.40.

The junior S&P/TSX Venture composite index added 21.14 points, rising to 1,817.06.

In the U.S., the Dow Jones industrial average rose 54.51 points, or 0.52%, to 10,451.97, while the Standard & Poor’s 500 Index added 5.73 points, or 0.51%, to 1,134.57. The Nasdaq Composite Index was the one loser today. It ended down 6.43 points, or 0.32%, at 1,995.74.