TORONTO – The Toronto stock market is likely to inch higher on Friday with commodity prices stronger.

The Canadian dollar dropped 0.17 of a cent to 96.88 cents US after Statistics Canada reported that manufacturing sales fell in June for the fourth time in six months, dropping 0.5 per cent to $48.2 billion.

In the U.S., the Commerce Department reported that builders began work last month on houses and apartments at a faster pace. The seasonally adjusted annual rate of starts was up six per cent to 896,000.

Dow Jones industrial futures are up 19 points to 15,089. S&P futures have added 4.3 points to 1,660. Nasdaq futures are up 7 points to 3,078.

In commodities, September crude contract rose 21 cents to settle at US$107.54 a barrel as supply concerns returned following renewed unrest in Egypt.

Egypt is not an oil producer but its control of the Suez canal, one of the world’s busiest shipping lanes that links the Mediterranean with the Red Sea, gives it a crucial role in maintaining global energy supplies.

December bullion rose $4.40 to end at US$1,365.30 an ounce. September copper fell 2.7 cents to US$3.36 a pound.

In Europe, Britain’s FTSE 100 fell 0.1 per cent to 6,479 while Germany’s DAX dropped 0.2 per cent to 8,361. The CAC-40 in France was bucking the trend somewhat, rising 0.2 per cent to 4,101.

Japan’s Nikkei 225 index fell 0.8 per cent to close at 13,650.11 while Hong Kong’s Hang Seng shed 0.1 per cent to 22,517.81. South Korea’s Kospi declined 0.2 per cent to 1,920.11.