CANADA STOCKS-TSX higher as oil prices rise, trade deficit shrinks

June 6 (Reuters) - Canada’s main stock index rose slightly on Thursday as data showed the country’s trade deficit shrunk - the latest sign the economy is recovering from a slowdown, while the energy sector gained on stabilizing oil prices.

* At 9:38 a.m. ET (1338 GMT), the Toronto Stock Exchange’s S&P/TSX Composite index was up 18.61 points, or 0.11%, at 16,231.27.

* Statistics Canada said rising exports and falling imports helped shrink Canada’s trade deficit in goods in April to C$966 million ($721 million). Analysts polled by Reuters had forecast a shortfall of C$2.80 billion.

* Eight of the index’s 11 major sectors were higher, led by the energy sector which climbed 0.8%.

* Oil prices rose by more than 1%, recovering from a near five-month low in the previous session but sentiment stayed weak due to rising U.S. supply and a stalling global economy.

* The loonie edged higher against its U.S. counterpart as it broadly declined, while domestic data showed Canada’s smallest trade deficit in six months.

* On the TSX, 130 issues were higher, while 95 issues declined for a 1.37-to-1 ratio favouring gainers, with 8.63 million shares traded.

* The top percentage gainer on the TSX were shares of Descartes Systems, which jumped 3.4%, followed by those of Baytex Energy Co, which rose 2.5%.

* Cronos Group Inc fell 2.7%, the most on the TSX, closely followed by shares of Aurora Cannabis, down 1.7%.

* The most heavily traded shares by volume were Royal Nickel , Just Energy Group and Bombardier Inc .

* The TSX posted six new 52-week highs and two new lows.

* Across all Canadian issues there were 18 new 52-week highs and eight new lows, with total volume of 22.09 million shares. (Reporting by Shreyashi Sanyal in Bengaluru)