3 Min Read
*TSX rises 243.79 points to 11,421.70
*All 10 sectors stronger
*RIM surges on takeover speculation (Updates with details, comments)
By Claire Sibonney
TORONTO, Oct 5 (Reuters) - Toronto's main stock index rose sharply on Wednesday morning after three days of losses, jumping more than 2 percent as commodity prices rallied and U.S. economic data came in stronger than expected.
Oil prices rebounded after nervous investors were reassured by an agreement among European finance ministers to safeguard their banks. [O/R]
As well, U.S. data showing more robust service sector activity and private employment whet investor appetite for risk assets. [ID:nN1E79407S]
All 10 TSX index sectors were stronger as the resource-heavy Canadian market outperformed its U.S. counterparts, catching up after recent underperformance. [.N]
Among the index's top gainers were battered energy and financial shares. Suncor Energy (SU.TO) surged 6.1 percent to C$26.98, and Bank of Nova Scotia (BNS.TO) climbed 2.6 percent to C$51.49.
"I think here, we're hopefully not getting a dead-cat bounce, but that, maybe, is just what it is. We'll have to see what happens as we go throughout the day," said John Kinsey, portfolio manager at Caldwell Securities.
At 10:37 a.m. (1437 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 243.79 points, or 2.2 percent, at 11,421.70.
"September was a very bad month and nothing goes straight down or straight up. You do expect some kind of a rebound and it looks like that's what we're going to get today," Kinsey said.
Research In Motion RIM.TO soared 12 percent C$24.95 on takeover speculation a day after the BlackBerry maker's stock fell below $20 for the first time in almost six years.
Also gaining were gold miners as bullion prices retraced some losses. Among them, Goldcorp (G.TO) was up 2.6 percent at C$471.5. [GOL/]
($1=$1.05 Canadian) (Additional reporting by Ashleigh Patterson; editing by Peter Galloway)