REFILE-CANADA STOCKS-TSX bounces higher on oils, banks

Tue Jun 7, 2011 12:38pm EDT
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 (Refiles to insert dropped Toronto dateline)
 * TSX up 59.50 points, or 0.45 percent at 13,378.16
 * Nine of 10 main groups higher
 (Updates with details, comments)
 By Solarina Ho
 TORONTO, June 7 (Reuters) - Toronto's main stock index
rebounded on Tuesday morning following five sessions of
declines, with energy issues leading the broad rally.
 Oil and gas stocks were up 0.92 percent after Monday's 2.14
retreat, with energy firms making up the three biggest index
movers on the positive side.
 Cenovus Energy CVE.TO jumped 2.15 percent to C$34.74,
while Canadian Natural Resources CNQ.TO rose 1.31 percent to
C$40.21. Talisman Energy TLM.TO advanced 2.63 percent to
 Financial issues were up 0.46 percent, led by Royal Bank of
Canada RY.TO, which gained 0.75 percent to C$54.84.
 "A sigh of relief so far this morning. It was a pretty
nasty day (Monday) on really no specific news," said Barry
Schwartz, vice-president and portfolio manager at Baskin
Financial Services.
 "Overall, the darkened clouds seemed to drift from the U.S.
to Canada."
 At 10:41 a.m. (1441 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was up 59.50 points, or 0.45
percent, at 13,378.16. Nine of the index's 10 main groups were
higher, with technology the lone decliner.
 A string of disappointing U.S. economic data in recent
weeks has sparked further concerns about the spillover effect
from Canada's biggest trading partner and have dampened
investor sentiment.
 "The market is totally discounting the good news out of
corporate profits and, at the end of the day, that's really
what should be driving stock prices. And we believe corporate
profits are going to improve in 2011 versus 2010," said
 "There could be some more people taking a look at that and
realizing the market has been oversold as a whole and there's
still some terrific bargains out there in a lot of areas."
 Tech issues were down 0.06 percent, pressured by Research
In Motion RIM.TO, which slid 1.05 percent to C$37.73.
Analysts have cut their price targets in recent days as the
BlackBerry maker remains under intense pressure from Apple's
AAPL.O iPhone and smartphones running Google's GOOG.O
Android operating system.
 The materials group, home to mining firms, was bolstered by
firm golds, but overall gains were capped by Sino-Forest
TRE.TO, which saw its shares plunge another 18.36 percent to
C$4.98 to lead the decliners.
 The Toronto-listed firm, which owns and operates timber
plantations in China, has seen its shares clobbered in recent
sessions following allegations of fraud. [ID:nL3E7H71M3]
 ($1=$0.97 Canadian)
 (Reporting by Solarina Ho; editing by Rob Wilson)