July 30, 2015 / 3:35 PM / 2 years ago

CANADA STOCKS-TSX rises in choppy trading; energy bounce offsets poor earnings

(Updates throughout with analyst comment, market reaction, details on earnings)

* TSX up 68.36 points, or 0.48 percent, to 14,370.16

* Seven of the TSX’s 10 main groups were up

By Solarina Ho

TORONTO, July 30 (Reuters) - Canada’s main stock index was higher in extremely choppy trading on Thursday as a solid rebound in energy stocks due to bargain hunting and oil prices bouncing off recent lows offset disappointing earnings.

Among the most influential movers on the index were Suncor Energy Inc, which rose 5.57 percent to C$36.55, and Canadian Natural Resources, which advanced 2.5 percent to C$31.52. The hefty energy sector climbed 3.1 percent.

A larger-than-expected draw in U.S. crude and gasoline stocks as well as data that showed a decline in U.S. oil production helped oil prices steady after they had fallen to near six-month lows in recent sessions.

Some of the energy names, such as Suncor and independent oil producer Cenovus Energy Inc, also did not react as expected following their earnings reports, said Colin Cieszynski, Senior market analyst at CMC Markets Canada.

Cenovus shares climbed 2.9 percent to C$19.15 despite the company slashing its quarterly dividend by 40 percent and announcing another round of job cuts.

“I think what we’re seeing here is probably a bit of short-covering and bargain-hunting, just trading against the news,” said Cieszynski.

“Even though the results were disappointing, the stocks had been pretty solidly hammered already. I suspect there was already substantial disappointment already priced in.”

At 11:17 a.m. (1517 GMT), the Toronto Stock Exchange’s S&P/TSX composite index was up 68.36 points, or 0.48 percent, to 14,370.16.

Of the index’s 10 main groups seven were in positive territory, with advancing issues outnumbering declining ones on the TSX by 131 to 115, for a 1.14-to-1 ratio on the upside.

Open Text Corp was the second-biggest driver for the TSX bounce, surging 19.2 percent to C$58.08 after the company revenue beat estimates for the first time in four quarters and raised its fiscal 2016 operating margin forecast.

The overall tech group was up 1.4 percent.

Offsetting gains was a 0.3 percent fall in materials, home to mining companies, and a 1.9 percent fall in utilities.

Disappointing many investors was Bombardier Inc, which announced it was delaying delivery of its latest Global business jet. It also reported lower earnings and greater cash burn. Shares sank 8.7 percent to C$1.78 after plunging as much as 15.9 percent earlier.

First Quantum Minerals earnings also fell short of expectations, which sent shares tumbling 11.7 percent to C$9.98. (Reporting by Solarina Ho; Editing by James Dalgleish)

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