TORONTO, Dec 23 (Reuters) - Canada’s main stock index rose on Tuesday, lifted by energy stocks after Canadian data showed strong October growth and the U.S. Commerce Department boosted its third-quarter growth estimate.
Real gross domestic product topped estimates in October thanks to an unexpected surge in manufacturing, while third-quarter U.S. growth was revised up to its quickest pace in more than a decade.
Portfolio manager Youssef Zohny said the better-than-expected data boosted equity markets, but noted that gross domestic product can be a lagging indicator.
“We can’t read too much into some of the GDP numbers, but given we’re entering the holiday period it seems like markets are looking at 2015 quite optimistically,” said Zohny, who is with StennerZohny Investment Partners of Richardson GMP Ltd.
Energy shares led the market, rising 1.1 percent, as the strong U.S. growth data steadied oil prices, balancing downward pressure from a supply glut.
TransCanada Corp and Suncor Energy Inc played the biggest role in pulling the index higher. TransCanada shares rose 2.1 percent to C$56.55, while Suncor was up 1.6 percent at C$37.45.
Financial stocks edged up 0.3 percent, and the materials sector rose 1.5 percent as spot gold rebounded from a three-week low hit in the previous session.
The Toronto Stock Exchange’s S&P/TSX composite index rose 91.99 points, or 0.64 percent, to 14,524.37. (Editing by Meredith Mazzilli)