3 Min Read
* TSX up 186.83 points, or 1.48 percent, at 12,844.38
* All 10 of the main groups higher
* Western Coal shares up more than 45 percent
By Solarina Ho
TORONTO, Nov 18 (Reuters) - Toronto's main stock index climbed more than 1 percent on Thursday morning, with resource issues leading the broad-based rally, while strong demand for General Motors' stock and easing worries over Ireland's debt crisis lifted investors' mood.
Oil prices rebounded after four-days of retreat, sending Suncor Energy (SU.TO) shares up 2.4 percent to C$34.40 and Canadian Natural Resources (CNQ.TO) up 2.5 percent to C$39.75. The overall energy group rose 1.8 percent.
Materials issues, home to major miners, bounced up 2.1 percent, recovering from a big commodities selloff this week, as copper prices gained 2.5 percent while gold was up over 1 percent. [MET/L] [GOL/] Base metals producer Teck Resources TCKb.TO rose 3.3 percent to C$50.30.
At 10:42 a.m. (1542 GMT) The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 186.83 points, or 1.48 percent, at 12,844.38. All 10 of the index's main groups were higher.
"We've had three, four days of real negative sentiment, so it's not surprising that there's a bit of a rebound. The question is, is it sustainable?" said Paul Gardner, partner & portfolio manager at Avenue Investment Management.
Broader market sentiment was also more upbeat as debt-laden Ireland said it expected to receive a giant loan from European partners and the International Monetary Fund to help stabilize its economy. [ID:nLDE6AH0HV]
"It puts them in a box and contains them, so that's a good thing," said Gardner, adding: "There's still some outstanding problems."
Financials also made healthy gains, climbing 1.4 percent with Royal Bank of Canada (RY.TO) adding 1.4 percent to C$53.90.
General Motors' GMMu.TO successful initial public offering also helped lift the overall market mood, Gardner noted.
The start of trading in GM shares represents the last step in a blockbuster IPO following the automakers government bailout in 2009 and its restructuring. [ID:nN18281169]
In individual company news, Western Coal WTN.TO shares soared 45.7 percent to C$10.75 on news that U.S.-based Walter Energy WLT.N was in talks to buy the Canadian miner for $3.24 billion. [ID:nSGE6AH0BN]
$1=$1.02 Canadian Reporting by Solarina Ho; editing by Rob Wilson