TSX hits one-month high as resources gain

Tue Apr 7, 2015 4:33pm EDT
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By Alastair Sharp

TORONTO (Reuters) - Canada's main stock index advanced to its highest in more than a month on Tuesday, lifted by gains among its biggest banks and some major energy companies as oil prices climbed.

The broad gains were echoed in global markets, with potential deal activity boosting European indexes as well as Wall Street. [.N] [.EU]

"The TSX is starting to pick up, and one of the reasons is the boiling over of oil prices," said Barry Schwartz, a portfolio manager at Baskin Financial Services. "I'm in the positive camp for being overweight equities."

Crude oil prices rallied after strong U.S. labor data and lower production forecasts. [O/R]

The Toronto Stock Exchange's S&P/TSX composite index ended the session up 88.19 points, or 0.58 percent, at 15,188.84. Eight of the 10 main sectors on the index gained.

Among the financial stocks pushing the index higher, Royal Bank of Canada gained 1 percent to C$77.81, Toronto-Dominion Bank added 0.8 percent to C$54.54, and Bank of Nova Scotia rose 1 percent to C$63.78.

Gold miners were among the heaviest weights on the downside, with Barrick Gold Corp slipping 1.8 percent to C$15.46 and Goldcorp Inc dropping 1.2 percent to C$23.81.

The benchmark index recorded its fourth straight daily gain, however, as it benefited from recent strength in crude prices and as investors eye the release of minutes from the last U.S. Federal Reserve meeting later this week for policy insights.   Continued...

A man walks past an old Toronto Stock Exchange (TSX) sign in Toronto, June 23, 2014.  REUTERS/Mark Blinch