(Adds details on specific stocks, updates prices)
* TSX up 16.85 points, or 0.11 percent, at 15,406.45
* Half of the TSX’s 10 main groups move higher
TORONTO, Sept 21 (Reuters) - Canada’s main stock index inched higher on Thursday morning as gains for heavyweight banking stocks offset declines for gold and base metal miners hurt by the U.S. Federal Reserve’s signal of another interest rate increase this year.
The materials group, which includes precious and base metal miners and fertilizer companies, lost 0.3 percent as gold prices fell after the Fed move and copper and other industrial metals lost ground in the wake of a stronger U.S. dollar.
Diversified miner Teck Resources was down 1.8 percent at C$26.42, and Kinross Gold Corp fell 2 percent to C$5.25.
Eldorado Gold Corp, however, jumped 2.9 percent to C$2.83 as the miner temporarily backed down on a threat to halt Greek investment after “constructive” talks with the country’s government.
At 10:27 a.m. ET (1427 GMT), the Toronto Stock Exchange’s S&P/TSX composite index was slightly higher, up 16.85 points, or 0.11 percent, at 15,406.45 as investors bought into financial stocks, which tend to perform better in a higher rate environment.
Bank of Nova Scotia gained 1 percent to C$78.69, while Toronto-Dominion Bank, Canada’s biggest bank by assets, rose 0.6 percent to C$68.92 after it re-entered the Japanese market with a fixed-income sales desk.
Half of the index’s 10 main groups were higher, with advancers slightly outnumbering decliners overall. (Reporting by Alastair Sharp; Editing by Lisa Von Ahn)
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