January 29, 2016 / 3:27 PM / 2 years ago

CANADA STOCKS-TSX heads for 1.8 pct weekly gain as oil rises

(Adds details, updates prices)

* TSX up 64 points, or 0.51 percent, at 12,655.93

* Nine of the TSX's 10 main groups were higher

TORONTO, Jan 29 (Reuters) - Canada's main stock index advanced in morning trade on Friday along with gains for global stock markets after the Bank of Japan moved to negative interest rates, while a rally in crude oil prices added to support for the resource-linked market.

The index is on track for a weekly gain of 1.8 percent, after earlier this month hitting its lowest since August 2012.

The energy group climbed 1.4 percent, as oil rose towards $35 a barrel, a gain of some 25 percent from the 12-year lows seen earlier in January, on prospects that a deal between major exporters to cut production could help reduce one of the worst oil gluts in history.

At 10:09 a.m. EST (1509 GMT), the Toronto Stock Exchange's S&P/TSX composite index was up 64 points, or 0.51 percent, at 12,655.93.

Wall Street gained even more after weak GDP data raised expectations that the U.S. Federal Reserve would go slow on future interest rate hikes.

The materials group, which includes precious and base metals miners and fertilizer companies, was flat.

But the fertilizer companies fell after Potash Corp forecast its bleakest year in a decade and slashed its dividend, due to tanking fertilizer prices.

Agrium Inc fell 1.9 percent to C$119.81, and Potash Corp declined 0.3 percent to C$52.59.

Methanex Corp fell 0.4 percent to C$56.16 after analysts trimmed their target prices for the stock following quarterly results.

Valeant Pharmaceuticals International rose 4.3 percent to C$126.17, recovering some of its losses since U.S. Democratic presidential candidate Hillary Clinton criticized exorbitant pricing for one of the company's drugs while on the campaign trail.

Nine of the index's 10 main sectors were higher, with the financials group slipping 0.2 percent.

Reporting by Alastair Sharp; Editing by Nick Zieminski

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below