Toronto stocks closed higher buoyed by reports that showed the country’s GDP growing by an annualized rate of almost 5% in July. The S&P/TSX composite index added 69.31 points to close at 6,180.42.

Overall, 11 of the 13 TSX sub-groups ended higher, led by the financial services group, which gained 1.9%. Energy stocks climbed 2% on the strength of higher natural gas prices.

Golds rose 1.78 % as the price of bullion in New York rose US$4.10 to US$325.20 an ounce. Barrick Gold jumped 95¢ to $24.75.

Among the banks, Royal gained $1.36 to $52.70; Scotiabank added $1.31 to $44.80; and Bank of Montreal rose $1.04 to $36.89.

The industrials group dropped 1.93 %, due largely to a 12% slide in Bombardier’s stock. The shares fell 59¢ to $4.36.

Nortel rose 9¢ to 79¢ after it settled its US$150 million lawsuit against Extreme Networks. The two firms have signed a patent cross-licensing deal; the terms are confidential.

The junior TSX Venture Exchange dipped 2.25 points to 951.3.

In New York, the Dow Jones industrial average fell 109.52 points to close at 7,591.93. The Dow ended the third quarter with a 17.9 per cent loss – its biggest percentage drop since the crash of 1987.

The Nasdaq Composite Index dropped 27.09 points to 1,172.07. The S&P 500 index lost 12.13 points to 815.24.

The Canadian dollar slumped against the U.S. currency on Monday, despite upbeat Canadian growth figures, as risk-averse investors fretted about weak equity markets and a potential war against Iraq. The Canadian dollar closed at US63.00¢, down from US63.40¢ at Friday’s close.