CANADA STOCKS-TSX rises on stronger oil price; eye on EU summit

Wed Jun 27, 2012 12:28pm EDT
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* TSX up 67.99 points, or 0.6 percent, at 11,402.41
    * Energy stocks rise with U.S. crude
    * Fertilizer producers rise on corn crop worries

    By Allison Martell
    TORONTO, June 27 (Reuters) - Canada's main stock index moved
higher on Wednesday as energy stocks rose with U.S. crude prices
and investors looked ahead to a critical European Union debt
crisis summit on Thursday and Friday.
    Although few expected the EU summit to resolve the region's
escalating debt woes there was faint hope for small progress.
    "We're all waiting to see what happens with the European
summit, whether something constructive or useful can be done,
and as a result of that I think people are being fairly cautious
in their trading," said David Baskin, portfolio manager and
president of Baskin Financial Services.
    At about 12:10 a.m. (1610 GMT) the Toronto Stock Exchange's
S&P/TSX composite index was up 67.99 points, or 0.6
percent, at 11,402.41.
    U.S. crude rose after data showed demand for long-lasting
U.S. manufactured goods rebounded more than expected in May.
Energy stocks were also supported by news U.S. Energy
Information Administration said crude oil and distillates
stockpiles fell last week.  
    Oil and gas stocks, up 0.8 percent, played the biggest role
in lifting the Toronto index.
    Shares of fertilizer producers also rose as U.S. new-crop
corn futures hit a nine-month high as operators worried about
damage to corn from hot, dry weather in the Midwest grain belt.
    Fertilizer stocks typically track the price of
fertilizer-intensive corn closely as higher grain prices are
likely to spur farmers to increase use of crop nutrients.
    In the fertilizer group, Potash Corp rose 1.6
percent to C$44.25. Pipeline operator TransCanada Corp 
was 1.7 percent higher at C$41.95. The two companies played the
biggest role in pulling the index higher.
    The index's heavyweight materials sector, which includes
gold miners, edged up 0.12 percent. Gold was little changed,
reversing from early losses. 
    MacDonald Dettwiler and Associates Ltd soared 24.3
percent to C$55.50 after it agreed to buy Loral Space &
Communications Inc's satellite manufacturing
subsidiary. MDA said the deal will immediately boost its