2 Min Read
*TSX bounce after near 7-percent drop on Thursday
*CIBC rises on move to limit U.S. residential exposure
*Materials get 5 pct boost from top gainer Potash
*Market awaits U.S. House vote on big bailout plan
TORONTO, Oct 3 (Reuters) - The Toronto Stock Exchange's main index was up sharply on Friday morning after Thursday's near 7-percent drop, rising on strength in commodity shares and ahead of a vote by the U.S. House on the revised $700 billion bailout package for the financial industry [ID:nSP58422] For more links to stories, see: [ID:nCRISIS].
At 9:45 a.m., the S&P/TSX composite index .GSPTSE was up 306.13 points, or 2.81 percent, at 11,206.67, with all but one of its 10 main groups higher. The small healthcare group sank 0.5 percent.
Materials climbed 5.1 percent with fertilizer producers Potash Corp of Saskatchewan (POT.TO) up 6.5 percent at C$107.56, and Agrium Inc (AGU.TO) up 5.4 percent to C$47.46. Both stocks plunged on Thursday after Merrill Lynch downgraded them because of uncertainty about earnings in the fertilizer sector.
The market's financial-services sector rose 2.3 percent with Canadian Imperial Bank of Commerce (CM.TO) up 4.2 percent to C$60.25 after it said it will limit its U.S. residential exposure through a $1.050 billion agreement with a fund arranged by Cerberus Capital Management. [ID:nN03323380] ($1=$1.08 Canadian) (Reporting by Jennifer Kwan; Editing by Peter Galloway)