CANADA STOCKS-TSX climbs with bank rally, miners

Wed Nov 21, 2012 3:14pm EST
 
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* TSX rises 40.35 points, or 0.33 percent, to 12,086.63
    * Financials, materials, energy gain
    * Seven of 10 main sectors advance

    By John Tilak
    TORONTO, Nov 21 (Reuters) - Canada's main stock index rose
on Wednesday, led by financial stocks in a buildup to bank
earnings, even as investors pulled back on trading a day ahead
of the U.S. Thanksgiving holiday.
    The financial sector, the biggest on the index, advanced for
a fourth straight session, rising 0.7 percent on expectations of
strong fourth-quarter earnings. 
    Bank results will be released over the next two weeks, with
Royal Bank of Canada the first to report, on Nov. 29.
Analysts expect a year-over-year profit gain of more than 10
percent for the group, driven by stronger capital
markets-related results.
    "The view is that you're going to have a pretty reasonable
quarter, and that is being reflected in the price movement we've
seen in the past several days," said Bob Gorman, chief portfolio
strategist at TD Waterhouse.
    Bank of Nova Scotia rose 0.8 percent to C$54.19,
and ranked just behind Suncor Energy in leading the market
higher. Toronto Dominion Bank gained 0.6 percent to
C$80.67, Bank of Montreal gained 0.9 percent to
C$59.01, and RBC added 0.3 percent to $57.59.
    Suncor Energy rose 1 percent at C$33.26. 
    Energy shares were up 0.18 percent, with oil prices edging
higher. Brent crude oil rose $1 per barrel after an explosion in
Tel Aviv revived concerns that any broader regional conflict
could disrupt oil flows. 
    The materials sector, which includes mining stocks, rose 0.5
percent, tracking a rise in U.S. gold futures. 
    "With economies like China showing signs they'll avoid a
hard landing, you have a little more positive sentiment creeping
in at this stage of the game," Gorman said.
    Barrick Gold Corp, up 0.9 percent to C$34.59,
Yamana Gold Inc, up 2.24 percent at C$19.13, and
Goldcorp Inc, up 0.8 percent to C$40.96, were among the
most influential advancers.
    Volume was at 190 million shares traded in Toronto, compared
with the daily average of 281.9 million traded in October.
    "The trading week is basically over. You won't see a whole
lot of movement here for the rest of the week," said Levente
Mady, senior portfolio manager at PI Financial Corp.
    By 2:53 p.m. (1953 GMT), the Toronto Stock Exchange's
S&P/TSX composite index was up 40.35 points, or 0.33
percent, at 12,086.63. Seven of the 10 main sectors were
positive.
    The index had opened lower after news that Greece's
international lenders failed to strike a deal to release
emergency aid, but politicians tried to give reassurance that a
deal was close.