CANADA STOCKS-TSX lifted by rally in energy shares

Mon Nov 16, 2009 5:08pm EST
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 * TSX rises 104.58 points to 11,512.26
 * Gold and energy stocks power latest rally
 (Adds details)
 By Frank Pingue
 TORONTO, Nov 16 (Reuters) - Toronto's main stock index shot
to its highest close in more than three weeks on Monday as a
rally in oil prices helped power Suncor Energy (SU.TO: Quote) and
other oil and gas shares to comfortable gains.
 Shares of Suncor, the biggest contributor to the index's
gain, rose 3 percent to C$38.04, followed by oil company
Canadian Natural Resources (CNQ.TO: Quote), which closed up 3.3
percent at C$72.49.
 The rise in energy stocks came as the price of oil rose
more than 3 percent on stronger-than-expected U.S. consumer
spending data and a weaker greenback. [O/R]
 Gold-mining shares were also instrumental in the TSX's
second straight higher close as gold prices touched a record
high near $1,135 an ounce. [GOL/]
 That helped lift Barrick Gold Corp (ABX.TO: Quote) shares 2.3
percent to C$46.15, while Goldcorp G.TO followed with a gain
of 1 percent to C$46.75.
 "It looks like we followed U.S. markets higher today, but
in Canada we are also being helped by the fact that the U.S.
dollar continues to slide and that has pushed commodity prices
higher," said Elvis Picardo, analyst and strategist at Global
Securities in Vancouver. "So the upside is being led by the
materials and energy issues."
 The greenback was dragged down by rosier-than-expected U.S.
retail sales data for October, which boosted economic optimism
and eroded the U.S. dollar's safe-haven appeal. [FRX/]
 The S&P/TSX composite index .GSPTSE closed 104.58 points,
or 0.92 percent, higher at 11,512.26. That marked its highest
close since Oct. 22.
 The TSX jumped at the open and held within a tight range
for the rest of the session with no key corporate news in
Canada released to influence investor sentiment.
 Westport Innovations Inc WPT.TO shares rose 12 percent to
at C$13.00 as the developer of natural gas-fired engines said
it signed a supply deal with Volvo AB (VOLVb.ST: Quote).
 Aecon Group Inc (ARE.TO: Quote) shares were also given a boost,
rising 2.7 percent to C$13.54, after the construction company
said it had been awarded one of its biggest contracts yet in
Canada's oil sands. [ID:nN16491491]
 The TSX is up a massive 54 percent since it tumbled to a
five-year low in March. And some experts say more gains could
be on the horizon ahead of the U.S. Thanksgiving Day holiday
next week.
 "This is typically the time of year when you begin to see a
lot of strength in the markets, just around the time of U.S.
Thanksgiving," Picardo said.
 "But while we are on course to end the year on a strong
note, next year is going to be a different story."
 ($1=$1.05 Canadian)
 (Editing by Peter Galloway)