RPT-CANADA STOCKS-Resource issues, upbeat data power TSX higher

Tue Feb 1, 2011 10:48am EST
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 (Repeats without changes)
 * TSX rises 109.10 points, or 0.81 pct to 13,661.09
 * Manufacturing data spurs recovery hopes
 * Uranium producers rally on spot price, supply
 (Adds details)
 By Ka Yan Ng
 TORONTO, Feb 1 (Reuters) - Toronto's main stock index
climbed sharply on Tuesday morning as commodity prices rose and
investors turned their focus from the turmoil in Egypt to U.S.
economic data and corporate results.
 A strong start to North American equity markets followed
rallies overseas as manufacturing activity in the euro zone
accelerated more than previously thought in January, which came
on the heels of upbeat U.S. Midwest factory activity and
consumer spending figures on Monday.
 Additionally, the U.S. manufacturing sector expanded in
January, and prices paid jumped more than expected, according
the closely watched index from the Institute for Supply
 "The markets have gotten out of the gate here pretty
strong. Commodities are acting a little bit better today. There
seems to be some decent interest coming into those sectors,"
said Bruce Latimer, a trader at Dundee Securities.
 At 10:30 a.m. (1530 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was up 109.10 points, or 0.81
percent, at 13,661.09, with all 10 of its main sectors
 Commodity prices were largely stronger, as copper hit a
record high and gold began the new month firmer after a heavy
January loss, and helped the materials group rise 1.24
 Oil, however, was moderately lower as the market assessed
the risk of Egypt's social unrest spreading to neighboring OPEC
members, as well as data showing China's factory growth slowed
to a five-month low.
 But the energy group advanced 0.72 percent, helped by
expectations that top producers will be reporting solid
quarterly results over the next few weeks.
 Top risers on Tuesday included Teck Resources TCKb.TO, up
4.12 percent at C$63.15, while Canadian Natural Resources
CNQ.TO added 1.9 percent to C$45.51.
 Uranium producers were in the spotlight again, adding to
recent gains as spot uranium is currently selling for $70 a
pound, having risen more than 65 percent since June.
 "There's some good focus on the uranium sector here the
last few days. They seem to be getting a bit of pulse with oil
at a high price; you'll surely see some focus into uranium,"
said Latimer.
 Cameco Corp CCO.TO rose for a third straight session,
adding 4.38 percent to C$43.33, boosted by news that
Kazakhstan, where the company has a mine, is eyeing 10 percent
uranium production growth this year. Tight supply was also a
factor as Energy Resources of Australia ERA.AX will close the
processing plant at its Ranger uranium mine for 12 weeks due to
bad weather. [ID:nN31242949] [ID:nLDE71001K]
 Other uranium producers were also up strongly, with Uranium
One UUU.TO up 4.89 percent at C$6.87 and Denison Mines
DML.TO up 5.9 percent at C$3.97.
 (Reporting by Ka Yan Ng; editing by Rob Wilson)