UPDATE 2-Toronto stocks get big lift from resource shares

Wed Aug 20, 2008 4:48pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

(Updates closing numbers, adds details, quotes)

*TSX index jumps 2 percent in broad rally

*Index logs biggest one-day advance in three weeks

*Energy leads the way up as oil prices firm

TORONTO, Aug 20 (Reuters) - The Toronto Stock Exchange's main index surged 2 percent on Wednesday, its biggest advance in three weeks, yanked higher by rallying resource shares as oil prices firmed.

Energy shares led the broad rally as the price of oil rose 45 cents to $114.98 a barrel amid tensions between Russia and the United States over the latter's missile shield agreement with Poland.

Oil producer Canadian Natural Resources (CNQ.TO: Quote) was up 7.5 percent at C$88.40. U.S. business giants Warren Buffett and Bill Gates toured Canadian Natural's Horizon oil sands project in northern Alberta this week. See [ID:nN20454040]

The materials sector, home to resource shares, also pushed the benchmark up as base-metals miners gained, but gold producers cut earlier advances as gold dipped. Teck Cominco TCKb.TO added 5.8 percent to C$42.65.

"It seems to be more a case of sentiment than actual changes in the underlying commodities," said Bob Gorman, chief portfolio strategist at TD Waterhouse.   Continued...