2 Min Read
* TSX gains 2.3 percent to 10,215.46
* Rising commodity prices lift resources
* Intel results boost optimism (Updates closing figures, adds details and comments)
By Ka Yan Ng
TORONTO, July 15 (Reuters) - Toronto's main stock index rallied more than 2 percent on Wednesday, powered by firmer commodity prices and new-found optimism about second-quarter earnings.
The resource-heavy index shot higher at the start of the session and maintained the gains throughout, supported by a nearly 4 percent rise in oil prices toward $62 a barrel, while gold jumped to a two-week high above $940 an ounce.
Key movers to the upside on Wednesday included Manulife Financial (MFC.TO), up 5.5 percent at C$21.56, and Research In Motion RIM.TO, up 4.1 percent at C$78.40. Goldcorp (G.TO) gained 4.13 percent to C$40.32.
Strong results from U.S. bellwether Intel Corp (INTC.O) bolstered hopes that overall second-quarter corporate results will support economic recovery.
"Intel certainly has rekindled some investor optimism. I think some of the investors are probably breaking out the bubbly right now. It may be a little premature for that," said Adrian Mastracci, portfolio manager and president at KCM Wealth Management Inc in Vancouver.
The Intel news came on the heels of better than expected results from Goldman Sachs (GS.N) and a bullish forecast by a prominent U.S. banking analyst, all of which have contributed to a substantial stock market rally this week.
The S&P/TSX composite index .GSPTSE closed up 229.31 points, or 2.3 percent, at 10,215.46. Nine of the index's 10 main groups were higher.
The index's materials group rose 3.03 percent, while the energy sector gained 2.53 percent. Financials also provided a big lift, up 2.6 percent.
$1=$1.12 Canadian Reporting by Ka Yan Ng; editing by Peter Galloway