CANADA STOCKS-TSX rallies for second day as banks, miners star

Tue Mar 23, 2010 5:47pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* TSX rises 0.65 percent to 12,044.54

* Financial, mining issues lead the way

* All 10 main sectors finish higher (Adds details, quotes)

By Claire Sibonney

TORONTO, March 23 (Reuters) - Toronto's main stock index was higher for a second straight session on Tuesday, led by a rally in financial and mining issues, which lifted the index back over the 12,000 mark.

The TSX mining subsector was up 2.3 percent, after Quadra Mining's QUA.TO C$1.6 billion all-stock deal to buy FNX Mining Co FNX.TO spurred excitement about the potential for further mergers and acquisitions in the sector. [ID:nSGE62M0FF]

FNX gained almost 2 percent to C$15.14, while Quadra skidded 2.3 percent to C$16.98. Base metals major Teck Resources TCKb.TO rose 2.5 percent to C$41.55.

"We expect more deals to happen. Companies have seen a nice recovery in their stocks so they're going to be able to use that as currency to make acquisitions," said Barry Schwartz, vice-president and portfolio manager at Baskin Financial Services.

"And, in the meantime, commodity prices have been higher so the companies' balance sheets are starting to improve."   Continued...