3 Min Read
(Updates throughout; adds commentary, market gainers/decliners, TSX figures)
* TSX up 128.24 points, or 0.89 percent, at 14,539.31
* Eight of the 10 sectors are higher
By Solarina Ho
TORONTO, July 13 (Reuters) - Canada's main stock index rallied on Monday, tracking global markets relieved that all-night talks between Greece and euro zone leaders resulted in a deal that would keep Athens afloat and part of the euro community.
While Greece has little direct bearing on Canadian equities, markets were nonetheless nervous and fixated on the potential broader fallout should talks fail.
"Everyone was really looking forward to this. It's a good news story from a standpoint of removing a little of the uncertainty out of Greece in the short term, with all the volatility. So markets are quite happy," said Sun Life Global Investments Chief Investment Officer Sadiq Adatia, who expects markets to take on a more bullish tone now.
At 11:02 a.m. EDT (1502 GMT), the Toronto Stock Exchange's S&P/TSX composite index rose 128.24 points, or 0.89 percent, to 14,539.31.
Of the index's 10 main groups, eight sectors advanced and a majority added at least 1 percent to their gains. Financial stocks had the biggest positive pull on the TSX.
Three of the top five movers were financials, with Royal Bank of Canada up 0.68 percent to C$77.10, and Bank of Nova Scotia advancing 1.2 percent to C$64.31.
The overall group climbed 0.7 percent.
The always influential Valeant Pharmaceuticals International rose 2.9 percent to C$303.11, and helped pull health care up 2.2 percent.
Mining and oil and gas stocks were more mixed, driving the two heavily-weighted sectors to swing between positive and negative territory.
Shares of Enbridge Inc rose 1.9 percent to C$58.77, while Crescent Point Energy shares fell 3.3 percent to C$23.14.
Oil prices had tumbled as Iran talks moved closer to a deal that would end sanctions and let more Iranian oil onto world markets. Greece's news helped pare some of those losses, however.
Among materials names, gold miners like Barrick Gold Corp fell 2.2 percent to C$12.54, while resource names like Agrium Inc added 2.3 percent to C$134.00.
With a Greece resolution soothing markets, attention will likely now shift toward the Bank of Canada and the U.S. Federal Reserve and their seemingly divergent monetary policies.
Adatia is still underweight in Canadian equities because there are still "a lot of issues in the Canadian economy."
Advancing issues outnumbered declining ones on the TSX by a nearly 2-to-1 ratio on the upside.
The index was posting 5 new 52-week highs and 12 new lows.
Reporting by Solarina Ho; Editing by Nick Zieminski