3 Min Read
* TSX rises 0.81 percent to 12,677.34
* All 10 sectors up, led by materials as gold hits record (Adds details)
TORONTO, Oct 13 (Reuters) - Toronto's resource-heavy stock index hit its highest level in more than two years on Wednesday as commodity prices got a boost from signals the Federal Reserve may pump extra stimulus into the U.S. economy.
A weaker U.S. dollar and expectations of further policy easing boosted the appeal of commodities, with gold shooting to a record high, while the price of oil edged up towards $83 a barrel.
Strong U.S. corporate results from JPMorgan and Intel also lifted sentiment.
Key advancers on the TSX included Barrick Gold (ABX.TO), up 1.4 percent at C$49.67, and Goldcorp (G.TO), up 2 percent at C$45.34. Teck Resources TCKb.TO rose 2.1 percent to C$45.63, while Suncor Energy (SU.TO) climbed 0.77 percent to C$35.42.
At 10:25 a.m. (1425 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 101.70 points, or 0.81 percent, at 12,677.34.
All of the index's 10 main groups were higher, led by a 1.47 percent gain in materials, while the oil and gas sector added 0.58 percent.
"I think people are hoping that this afternoon's talk by (Fed Chairman Ben Bernanke) is going to indicate there may be some more quantitative easing coming. People seem to betting on that to some extent," said Michael Sprung, president of Sprung & Co Investment Counsel.
"More particularly here in Canada, we have most of the commodities up today."
Expectations grew for further quantitative easing by the Fed after minutes from the U.S. central bank's latest meeting confirmed that it would likely soon inject cash into the market to support the flagging economy. Bernanke speaks in Pittsburgh on Wednesday afternoon.
Financials were up 0.7 percent on the back of higher profit at U.S. bank JPMorgan Chase & Co, with Royal Bank of Canada (RY.TO) adding 1.2 percent to C$55.65, while Bank of Montreal (BMO.TO) rose 0.9 percent to C$60.36.
First Quantum Minerals (FM.TO) rose 2.1 percent to C$83.16 after the miner said Zambia would continue to attract greater investment in the African copper belt than the Democratic Republic of Congo until Congo is better able to enforce the rule of law. [ID:nLDE69C0NF]
Exfo Inc (EXF.TO) jumped 6.5 percent to C$6.23 a day after the tech company swung to a fourth-quarter profit, helped by its telecom unit, and said it expects to post higher quarterly results in the first quarter. [ID:nSGE69B0KR]
$1=$1.00 Canadian Reporting by Ka Yan Ng; editing by Rob Wilson