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The Toronto Stock Exchange Broadcast Centre in Toronto.MARK BLINCH

North American stocks moved in very different directions on Thursday, with major U.S. indexes rising modestly but Canada's benchmark index sliding into correction territory.

The Dow Jones industrial average closed at 11,961.52, up 64.25 points or 0.5 per cent. The broader S&P 500 closed at 1267.64, up 2.22 points or 0.2 per cent. In Canada, the S&P/TSX composite index closed at 12,853.13, down 118.90 points or 0.9 per cent.

Earlier in the day, the TSX had fallen as low as 12,834.64, bringing the total decline from its recent high to nearly 10.1 per cent - conforming to the broad definition of a correction. After it pared its losses toward the end of the trading day, the total loss was narrowed to 9.9 per cent.

The U.S. gains came despite ongoing concerns about the Greek debt crisis, with some observers worried about the potential for a spillover effect into global financial markets. Though U.S. economic news on jobless claims and housing starts were modestly positive, neither reading banished concerns about a slowdown in the economic recovery.

American Express Co. rose 2.4 per cent, Hewlett-Packard Co. rose 2.1 per cent and Home Depot Inc. rose 1.8 per cent. However, JPMorgan Chase & Co. fell 0.8 per cent and Ford Motor Co. fell 2.4 per cent.

Meanwhile, commodity producers continued to lag, even as the price of crude oil stabilized after Wednesday's sharp decline. Alcoa Inc. fell 1.1 per cent, though energy stocks were mixed: Chevron Corp. rose 1 per cent but Canadian Natural Resources Ltd. fell 1.5 per cent.

Canadian materials stocks were the biggest drags on performance. Potash Corp. of Saskatchewan Inc. fell 3.4 per cent and Teck Resources Ltd. fell 3.6 per cent.

After markets closed, Research In Motion Ltd. reported its much-anticipated fiscal first quarter results. The BlackBerry maker delivered net earnings of $1.33 (U.S.) a share, in line with analysts' expectations. However, it slashed its full-year forecast to a profit range between $5.25 and $6 a share. Earlier, its forecast had been a far higher $7.50 a share, although analysts had been estimating full-year earnings of just $6.24.



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