CANADA STOCKS-TSX powers higher on resources, Potash

Tue Nov 17, 2009 4:28pm EST
 
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   * TSX up 117.74 points at 11,630.00
 * Touches highest level in nearly 2 months
 * Materials shares lead rally
 * Potash Corp jumps after Soros fund boosts stake
 (Updates to close, adds details and quotes)
 By Jennifer Kwan
 TORONTO, Nov 17 (Reuters) - Toronto's main stock index rose
on Tuesday as commodity prices ticked higher and shares of
Potash Corp of Saskatchewan (POT.TO: Quote) rallied after billionaire
investor George Soros's hedge fund raised its stake in the
company.
 Potash Corp topped the list of influential movers, rising 7
percent to C$116.50. The rise helped to boost the broader
materials sector 2.1 percent, with Agrium Inc (AGU.TO: Quote) also
higher by 3.8 percent at C$58.55.
 The news "would certainly be a bullish indication of how
Mr. Soros feels," said Bruce Latimer, a trader at Dundee
Securities.
 "He's obviously a sophisticated investor. If he's willing
to take a position or a gamble on a significant position on a
stock it might encourage other people to look that way and
perhaps follow suit," Latimer said.
 Firm prices for oil and base metals also helped support the
index's influential resource groups, boosting individual names
such as Suncor Energy (SU.TO: Quote) and Barrick Gold (ABX.TO: Quote), which
rose 2.2 percent and 2.9 percent respectively.
 The S&P/TSX composite index .GSPTSE finished the day up
117.74 points, or 1.02 percent, at 11,630.00, closing higher
for a third straight session. Earlier, it touched its highest
level since late September.
 Nine of its 10 main groups were higher except for the
telecoms sector, which closed down 0.1 percent.
 Strength in commodity-linked shares came as the price of
oil CLc1 settled above $79 a barrel [O/R], while bullion and
base metals prices were firm. [GOL/] [MET/]
 ($1=$1.05 Canadian)
 (Reporting by Jennifer Kwan; editing by Rob Wilson)