WRAPUP 1-Canada currency falls on Trump win, but gold miners buoy stocks

Wed Nov 9, 2016 10:29am EST
 
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TORONTO Nov 9 (Reuters) - Canada's currency and long-term bonds fell in early trading on Wednesday as investors digested the implications of Donald Trump's U.S. presidential election victory, but soaring gold miners helped push its stock market into positive territory.

The Canadian dollar also came off the worst of its lows overnight, as some of the knee-jerk selling of riskier assets abated.

A 0.6 percent rise in TransCanada Corp, which stands to gain from the potential approval of the Keystone XL pipeline, and a 1.3 percent rise in the overall energy sector also helped push Toronto's main stock market higher.

The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 22.93 points, or 0.16 percent, at 14,679.77 shortly after open marginally in the red.

"There isn't the panic that I think the numbers were looking like on the open," said Brian Pow, an equity analyst at Acumen Capital Partners in Calgary.

The materials sector, which includes gold miners, jumped 3 percent. Gold jumped nearly 5 percent as investors bolted for safety.

"You have gold, which benefits because all of his policies are inflationary," said Diana Avigdor, head of trading at Barometer Capital Management.

The Caisse de depot et placement du Quebec, Canada's second biggest public pension plan and one of the world's biggest dealmakers, said the result of the election will add to uncertainty in the global economy.

"As a result, we expect to see increased volatility in the months ahead," it said in a statement.   Continued...