The Canadian Press

The Toronto stock market ended Thursday with its fourth consecutive triple-digit gain, as a weaker U.S. dollar helped drive up commodities prices and sent the loonie soaring to its highest levels in more than a year.

The S&P/TSX composite index closed up 134.63 to 11,484.51, while the Canadian dollar wrapped the day at US95.04¢, a gain of 0.91 of a cent, its highest close since Sept. 29, 2008.

A key factor behind the enthusiastic gains was a weakening U.S. dollar, which sent investors running for cover in commodities futures markets.

Gold prices have especially felt the shift and logged three consecutive sessions of record highs as a result.

On the Nymex, the December gold contract ended the session $11.90 higher to US$1056.30 an ounce, which helped send the TSX gold sector 0.6% higher.

Also on the upswing was the energy sector, which climbed up 2.9%, as the November crude contract on the New York Mercantile Exchange rose $2.12 to US$71.69 a barrel. Nexen Inc. (TSX:NXY) shares gained $1.06 to $24.26.

The TSX Venture Exchange was up 16.36 to 1,306.18.

In the U.S., investors spent much of the session grappling with the start of earnings season, which got off to a bang after the closing bell on Wednesday with a report from Alcoa Inc. The U.S. aluminum giant surprised the market with a profit of US$77 million tied to cost-cutting and rising sales to automakers.

“If we get a repeat of good earnings because of cost cutting then it could be kind of neutral” to the markets, said Gareth Watson, director of the Canadian equities portfolio advisory group at Scotia McLeod.

“Last quarter we had a lot of companies beat expectations on the earnings line, but unfortunately we did not have them beat expectations on the revenue line. This quarter, if you get both beats on the earnings and revenue line, then you’re probably going to have a good rally.”

On Thursday, there was also encouraging U.S. economic data which said the number of Americans making new claims for jobless benefits fell last week to the lowest level since early January, as employers cut fewer workers.

On Wall Street, the Dow Jones industrials moved 61.29 points higher to 9,786.87.

The Nasdaq composite index rose 13.60 points to 2,123.93 while the S&P 500 index gained 7.90 points to 1,065.48.

A number of big U.S. retailers have reported lower September sales at stores open at least a year, but some still managed to beat analysts’ expectations. Consumer spending accounts for more than two-thirds of all U.S. economic activity, so improvement in retail sales would provide further evidence of a rebound.

Macy’s Inc. and Target reported smaller-than-expected declines in sales at stores opened at least a year. The measure is considered a key indicator of a retailer’s health.

On the TSX, diversified metals and mining were ahead 4.3%, while HudBay Minerals Inc. (TSX:HBM) said it has approved an $85-million budget for Phase 1 of the Lalor gold and base-metals project in northern Manitoba. HudBay shares rose 90¢ to $14.60.

Financials stocks were flat, down 0.01%, with the Big Six banks all lower. CIBC (TSX:CM) was down 10¢ to $65.71.

In corporate news, Brookfield Asset Management Inc. (TSX:BAM.A) will pay US$265 million to acquire half of an Australian coal terminal and all of an English port business as part of a US$1.1 billion deal with Babcock & Brown Infrastructure of Sydney. Brookfield shares gained 74¢ to $24.80.

Galleon Energy Inc. (TSX:GO) shares were ahead 18¢ to $6.40 after the company announced it has arranged a $15.6 million syndicated financing on a bought deal basis to pay for significant exploration expenses.

Drug maker Labopharm Inc. (TSX:DDS) said it has finalized a distribution and supply agreement worth an estimated $11.7 million with the German company that developed the painkiller Tramadol. The company’s shares rose 3¢ to $2.05.