February 18, 2014 / 10:04 PM / 6 years ago

CANADA STOCKS-TSX posts 10th day of gains, nears three-year high

* TSX rises 22.71 points, or 0.16 percent, to 14,077.47
    * Six of the 10 main index sectors advance
    * Index up 3.4 percent so far this year
    * BlackBerry jumps after Third Point discloses stake
    * Rona tumbles after quarterly report

    By John Tilak
    TORONTO, Feb 18 (Reuters) - Canada's main stock index
climbed to its highest in nearly three years on Tuesday as
global equity markets cheered stimulative policy measures taken
by the Bank of Japan, while a jump in oil prices lifted shares
of energy producers.
    With sentiment for equities rebounding and an appetite for
natural resource stocks staging a recovery, the Toronto Stock
Exchange's benchmark index closed higher for a 10th straight
    The Japanese central bank kept an easy monetary policy in
place and extended special loan programs to support economic
    Further support for the index came from a 5.1 percent jump
in shares of smartphone maker BlackBerry after investor
Daniel Loeb's Third Point hedge fund disclosed it had bought 10
million shares in the company. 
    Offsetting some of the positive sentiment was data showing a
slowdown in New York manufacturing in February after it hit a
20-month high in January. 
    Recent gains in shares of gold producers have driven much of
benchmark Canadian index's rise this year. The S&P/TSX composite
index is up about 3.4 percent so far in 2014, compared with a
decline in the S&P 500.
    "The TSX is definitely back in favor. It's been a steady
grind upwards and it's indicative of changing sentiment for the
Canadian equity space," said Elvis Picardo, strategist and vice
president of research at Global Securities in Vancouver.
    "This rally has been earnings driven. It is fundamentally
sound," he added. "With the index having surpassed 14,000, it
does give us more confidence in the outlook for the rest of
    The S&P/TSX composite closed up 22.71 points, or
0.16 percent, at 14,077.47 on Tuesday. Six of the 10 main
sectors on the index were higher.
    Shares of energy producers were up 0.5 percent, with
Canadian Natural Resources Ltd advancing 1.8 percent to
C$39.18, and Encana Corp rising 2.2 percent to C$20.79.
    Gold-mining shares were volatile, with the group paring its
early losses to trade higher. Goldcorp Inc gained 0.1
percent to C$30.35.
    In corporate news, Rona Inc reported lower
quarterly revenue and profit as same-store sales fell due to
extreme winter weather and a decline in home-building. Shares of
the home improvement chain dropped 6.4 percent to C$11.58.
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