CANADA STOCKS-TSX steady as China deal offsets fall in resources

Mon Nov 10, 2014 4:44pm EST
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* TSX up 18.97 points, or 0.13 percent, at 14,709.80
    * Energy, mining stocks weigh

    By Alastair Sharp and John Tilak
    TORONTO, Nov 10 (Reuters) - Canada's main stock index was
little changed on Monday as declines in the energy and
gold-mining sectors, which followed commodity prices lower, were
offset by optimism over a trade deal that gives global investors
access to China's stock market.
    A strong U.S. dollar fueled a decline in the prices of oil
and bullion. The energy sector dropped 1.3 percent, and shares
of gold miners dived 5.9 percent. 
    After recording four straight weekly gains, the
resource-sensitive TSX hit a one-month high before giving up
some of its early advances. 
    A long-awaited trading link between Hong Kong and Shanghai
will open on Nov. 17, an important step towards opening China's
capital markets that will give foreign and Chinese individual
investors unprecedented access to each others' stock exchanges.
    "This is a significant milestone in capital markets history.
It's a positive for Canada," said Marcus Xu, portfolio manager
at M.Y. Capital Management Corp in Vancouver. 
    "I'll be buying commodity stocks at this point," he added.
Xu says the prices are attractive and the fundamentals are in
place for a rebound in natural resource stocks and the broader
Canadian equity market.
    The Toronto Stock Exchange's S&P/TSX composite index
 closed up 18.97 points, or 0.13 percent, at 14,709.80.
Eight of the 10 main sectors on the index were higher.
    Among shares of energy producers, Canadian Natural Resources
Ltd lost 0.7 percent to C$40.57 and Encana Corp
 shed 1.9 percent to C$21.05. 
    In the gold-mining sector, Barrick Gold Corp was
down 6.5 percent at C$12.90 and Goldcorp Inc fell 4.4
percent to C$21.69.
    Bank stocks helped support the gains, with Toronto-Dominion
Bank adding 1 percent to C$56.34 and Bank of Nova Scotia
 up 1.1 percent at C$68.20.
    BlackBerry gained 5.8 percent to C$12.63. The
technology company's CEO said that it has completed the first
phase of its two-year turnaround plan, is focused on
profitability, and will not spread itself thin by attempting to
launch too many new devices.

 (Editing by Grant McCool)