November 6, 2013 / 10:09 PM / 7 years ago

CANADA STOCKS-TSX gains from jump in gold miners, Enbridge

* TSX rises 18.70 points, or 0.14 percent, to 13,380.41
    * Six of the 10 main index sectors advance
    * Enbridge, Magna up after earnings
    * Penn West tumbles after announcing asset sale plans

    By John Tilak
    TORONTO, Nov 6 (Reuters) - Canada's main stock index rose on
Wednesday as investors speculated about global central bank
moves and as gold-mining shares climbed with the price of
    The market also analyzed earnings statements from several of
the country's major energy players, including Enbridge Inc
 and Talisman Energy Inc, as well as a bullish
report from auto parts maker Magna International Inc.
    The Toronto Stock Exchange's S&P/TSX composite index
 closed up 18.70 points, or 0.14 percent, at 13,380.41.
    The index has jumped nearly 5 percent in the past month, and
six of its 10 major index sectors were higher on Wednesday.
    Market focus was on whether the European Central Bank will
cut interest rates this week, while anticipation grew that the
U.S. Federal Reserve again will put off plans to scale back its
monetary stimulus program. 
    Top Fed officials have been saying in recent days the U.S.
central bank should not make changes to the program until
there's more evidence to suggest that the world's biggest
economy is on a firmer footing. 
    "The Fed is in a conundrum, given that they need stronger
economic growth to reduce their easing," said Youssef Zohny,
portfolio manager at Stenner Investment Partners, a unit of
Richardson GMP. "Some of the economic data lately has been maybe
a bit disappointing."
    "In the short term, there could be some volatility," he
added. "But in the medium term, there's more value in Canada
than in the United States."
    Valuations for natural resource stocks on the Toronto market
are starting to become more appealing, Zohny said. "But it's
going to require patience, given that we need a strong catalyst
on the economic front."
    Gold-mining stocks jumped 1.3 percent, helped by a gain in
the price of bullion. In the group, Goldcorp Inc 
rose 1.1 percent to C$26.25.
    Financial shares climbed 0.4 percent, with Toronto-Dominion
Bank adding 0.3 percent to C$95.96.
    Magna reported a nearly 13 percent rise in quarterly sales
as its European business strengthened. The stock gained 1.4
percent to C$90.19. 
    Enbridge advanced 1.7 percent to C$46.56, after the pipeline
company reported higher third-quarter earnings, with increased
volumes on its crude pipelines offsetting higher costs.
    Oil and gas producer Talisman, which reported a smaller
quarterly net loss compared with the year-earlier quarter, said
it has no immediate plans to split itself in two despite
pressure from activist shareholders. The stock shed 2.7 percent
to C$12.48. 
    Penn West Petroleum Ltd lost about 16 percent of
its value after the oil producer said it aimed to sell up to $2
billion of assets before 2015 as part of a plan to focus on
projects centered on its Cardium field in Alberta.
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