(Adds portfolio manager comment, updates after open)
* TSX up 44.91 points, or 0.31 percent, at 14,707.19
* Seven of 10 main sectors gain
By Alastair Sharp
TORONTO, July 16 (Reuters) - Canada’s main stock index gained on Thursday, with banking stocks leading the way a day after the central bank cut rates, while auto parts maker Magna International Inc rose after it said it would buy a German peer.
The most influential boosts included Royal Bank of Canada , which rose 1.2 percent to C$78.19, and Toronto-Dominion Bank, which advanced 1 percent to C$53.24.
The overall financials group climbed 0.9 percent, with its components filling six of the top eight spots.
“Lower rates encourage people to invest, encourage businesses to make acquisitions, take on debt, expand their operations,” said Barry Schwartz, a portfolio manager at Baskin Financial Services.
“The banks will benefit from more M&A, more stock listings, more bond and preferred share offerings, wealth management and ancillary services and loan demand,” he said.
The Toronto Stock Exchange’s S&P/TSX composite index rose 44.91 points, or 0.31 percent, to 14,707.19 by 10:38 a.m. ET (1438 GMT). Seven of its 10 main groups gained.
The biggest weights included Barrick Gold Corp, which slumped 4.1 percent to C$11.96, and First Quantum Minerals Ltd, which gave up 5.3 percent to C$14.80. The overall materials group retreated 1.2 percent, while energy was off 0.3 percent.
“The commodity super-cycle is over, it’s done,” Schwartz said.
U.S. crude prices were down 0.7 percent to $51.04 a barrel, while Brent crude added 1.1 percent to $57.66.
Gold futures fell 0.2 percent to $1,145.3 an ounce , and copper prices advanced 0.3 percent to $5,548 a tonne.
Shares in Magna jumped early before settling up around 0.4 percent at C$72.46 after the automotive parts maker said it would buy privately-owned German car parts maker Getrag for 1.75 billion euros ($1.9 billion) to expand its automotive transmission systems business.
“The knock against Magna has been that they haven’t had the Asian and European exposure that some of the other players do, and now they do,” Schwartz said. (Reporting by Alastair Sharp; Editing by Nick Zieminski)