Slumping gold stocks led the Toronto stock market lower Friday. The TSX/S&P composite index fell 18.41 points to close at 7,580.07. For the week the benchmark index lost 0.42%.

The gold sub-index fell 2.4% Friday, as gold futures fell US$3.90an ounce to US$376.90.

Barrick Gold fell 96¢ to $26.90. On Thursday, the gold company said its 2004 production would drop by 10 per cent as two of its key mines process lower grade ore.

The TSX industrial sector fell 1.2%.

Bombardier shares dropped 18¢ to $5.50 after Air Canada said Thursday the carrier’s next order of 100 jets might have to go to a foreign company because Bombardier can’t get government-backed financing for a domestic customer like Air Canada.

Other losers included CAE which shed 29¢ to $6.43.

Gildan Activewear shares dropped $2.80 to $39.10, after Gildan lowered its profit forecast.

Among the session’s gainers, tech bellwether Nortel Networks rose 10¢ to $5.56.

Alcan jumped $4.64 to $52.83 after Pechiney of France accepted a sweetened Alcan offer for the company.

Toronto volume was 235 million shares worth $2.50 billion. Overall market sentiment was negative with decliners outpacing advancers 604 to 559.

The junior S&P/TSX Venture composite index climbed 5.83 to 1,374.55.

On Wall Street, stocks rose in moderate trading volume on Friday, as a late afternoon technical rally lifted stocks from week-low levels.

Technical support levels were triggered after investors sold off shares on weak economic reports and lackluster licensing news from tech heavyweight Oracle Corp.

The tech-heavy Nasdaq composite index gained 8.95 points to 1,855.04.

The blue-chip Dow Jones industrial average added 11.79 points to 9,471.55. The broader S&P 500 rose 2.21 points to 1,018.63.

Despite the late rally, all three indexes ended lower for the week. The Dow fell 0.33%, Nasdaq fell 0.17% and the S&P 500 fell 0.27%.

The Canadian dollar closed up 0.41¢ at US73.32¢.