April 17, 2012 / 8:49 PM / 7 years ago

CANADA STOCKS-Earnings, Europe help fuel TSX rally

* TSX ends up 99.35 points, 0.8 pct, at 12,136.94
    * All 10 sectors up in broad rally

    By Claire Sibonney	
    TORONTO, April 17 (Reuters) - Toronto's main stock index
rallied o n T uesday as investors focused on encouraging U.S.
corporate results, improving sentiment about Europe's economy
and recovering commodity prices. 	
    Among the top gainers on the index, Suncor Energy 
rose 2 percent to C$31.43, Canadian Natural Resources 
climbed 2.3 percent to C$32.65 and Toronto-Dominion Bank 
 advanced 1 percent to C$83.56.	
    "In essence, we've switched from being worried about what
could go wrong to focusing on what's going right," said Gavin
Graham, president at Graham Investment Strategy. 	
    Among the positive headlines on Tuesday, German analyst and
investor confidence rose unexpectedly in April to a high not
seen since June 2010, while easing Spanish bond yields boosted
confidence before a long-term debt auction later in the week.
    Investors also latched on to another round of strong
earnings south of the border. Of the 39 S&P 500 companies that
have reported earnings, 74.4 percent beat estimates, according
to Thomson Reuters data. 	
    In Canada, a more hawkish-sounding central bank surprised
markets when it said it may need to start raising interest
    "The Bank of Canada sounded more optimistic about life in
general... (investors) don't bother to think through the
implications of that, which is if the economy is stronger, then
you're going to end up with higher interest rates," added
    The Toronto Stock Exchange's S&P/TSX composite index
 was ended up 99.35 points, or 0.83 percent, at
12,136.94. All 10 sectors were stronger.	
    Among the laggards, Yamana Gold lost 1.3 percent to
C$14.63, Ivanhoe Mines was down 3.3 percent to C$11.63
and Just Energy sank nearly 5 percent to C$12.50.	
    "Gold stocks are discounting about a $1,000 gold price, and
the oil stocks are discounting about an $80 oil price," said
John Kinsey, portfolio manager at Caldwell Securities.	
    "I'm hoping when the first-quarter earnings come for these
companies that they'll be good, and that might help to close the
gap somewhat."
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