CANADA STOCKS-TSX climbs as energy, mining shares gain

Thu Oct 16, 2014 10:49am EDT
 
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* TSX up 56.67 points, or 0.41 percent, at 13,926.55
    * Five of the 10 main index sectors decline
    * Energy, mining shares lead market higher

    By John Tilak
    TORONTO, Oct 16 (Reuters) - Canada's main stock index rose
in choppy trading on Thursday as gains in the energy and mining
sectors helped offset concerns about global economic growth.
    Worries about the direction of the global economy and fears
that the U.S. Federal Reserve might raise interest rates have
hit equity markets hard in recent weeks. 
    The market also digested data on Thursday that showed
Canadian factory sales recorded their first fall this year in
August, their biggest drop in five years. 
    The Toronto stock market's benchmark TSX index has lost
nearly 12 percent of its value since reaching a record high last
month.
    "We're getting a revaluation. The realization that the
market was richly valued has finally hit home," said John Ing,
president of Maison Placements Canada.
    "In the near term, there's still a little more downside," he
added. "The (Canadian) market could go lower before getting a
bounce."
    The Toronto Stock Exchange's S&P/TSX composite index
 was up 56.67 points, or 0.41 percent, at 13,926.55.
Five of the 10 main sectors on the index were higher.
    Shares of energy producers got a bounce after recent
weakness. Canadian Natural Resources Ltd added 1.9
percent to C$36.72, and Suncor Energy Inc climbed 1.6
percent to C$36.88.
    The materials sector, which includes mining stocks, advanced
0.4 percent. Barrick Gold Corp jumped 2.2 percent to
C$15.57.
    Financials, the index's most heavily weighted sector, gave
back 0.3 percent. Royal Bank of Canada lost 0.8 percent
to C$76.68, and Bank of Montreal shed 0.4 percent to
C$78.01.
    ($1=$1.13 Canadian)

 (Editing by Peter Galloway)