CANADA STOCKS-TSX rises as energy shares lead broad advance

Wed Nov 12, 2014 4:45pm EST
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* TSX up 95.93 points, or 0.65 percent, at 14,856.20
    * All 10 main index sectors rise
    * Energy shares rise 1 percent

    By John Tilak
    TORONTO, Nov 12 (Reuters) - Canada's main stock index rose
to its highest in more than a month on Wednesday as the energy
sector recovered from an initial decline and a positive budget
outlook for the country boosted investor sentiment.
    Finance Minister Joe Oliver said Canada will emerge from
seven years of budget deficits that followed the 2008 financial
crisis and show a C$1.9 billion ($1.7 billion) surplus next
year, despite lower oil prices and a package of previously
announced tax cuts. 
    The benchmark TSX recorded its sixth straight daily gain and
has rebounded from an eight-month low hit last month.
    Energy shares, which have been in focus because of the
recent selloff in oil, climbed after slipping in early trading.
The group is still down about 23 percent since the middle of
    "I don't think the oil price will go much further down. If
any of the higher-quality energy stocks can maintain their
dividends, they will be very competitive with bonds or cash,"
said Stephen Jarislowsky, chairman of fund manager Jarislowsky
    "Stocks that can increase dividends are going to be in
demand," he added.
    The Toronto Stock Exchange's S&P/TSX composite index
 closed up 95.93 points, or 0.65 percent, at 14,856.20.
All of the 10 main sectors on the index were higher.
    Shares of energy producers climbed 1 percent, despite
weakness in the price of oil. Suncor Energy Inc added
1.4 percent to C$39.85, and Canadian Natural gained 1.9
percent to C$41.91.
    Financials, the index's most heavily weighted sector,
advanced 0.6 percent, with Toronto Dominion Bank rising
1 percent to C$57 and Royal Bank of Canada climbing 0.6
percent to C$82.25.
    Valeant Pharmaceuticals International Inc's shares
were up 1.1 percent, at C$148.97, after a report that Actavis
Plc is in talks to buy Allergan Inc for at least
$60 billion. 

 (Editing by James Dalgleish)