2 Min Read
* TSX up 0.73 percent at 10,195.38
* Energy, materials climb on firm commodities
* RIM sags after giving disappointing outlook
* (Adds details, quote)
By Jennifer Kwan
TORONTO, June 19 (Reuters) - Toronto's main stock index opened higher on Friday morning on a rise in commodities prices, but Research In Motion RIM.TO shares fell a day after the company offered an outlook that disappointed the market.
The index's mining-heavy materials group was up 1 percent on firmness in gold and base metals prices. Goldcorp (G.TO) climbed 1.2 percent to C$38.41.
The energy group was also up 1 percent as the oil price CLc1 rose toward $72 a barrel. [ID:nSIN282931] In the group Suncor Energy (SU.TO) was up 1.8 percent to C$35.00.
Despite demand concerns, there is still a healthy appetite for commodities, said Rick Meslin, head of Canadian equities at UBS.
"We still believe overall that valuation levels are not at a fair value reflecting what 2010 is going to look like," he said. "We still believe the overall market levels are still fairly cheap."
At 10:06 a.m. (1406 GMT), the S&P/TSX composite index .GSPTSE was up 73.88 points, or 0.73 percent, at 10,195.38. Eight of its 10 main groups were higher. The information technology group, of which RIM is a member, was down by 0.2 percent. Consumer staples was also down by 0.2 percent.
Shares of BlackBerry maker RIM fell 1.8 percent to C$85.25, a day after the company gave an outlook that fell short of some investors' expectations.
The company's shares slid 5 percent on the Nasdaq in after-hours trading on Thursday even though the company reported a higher quarterly profit that topped forecasts. [ID:nN19441393] [ID:nN18406026]
$1=$1.14 Canadian Reporting by Jennifer Kwan; editing by Peter Galloway