* TSX rises 0.2 percent to 11,655.11
* Investors sort through mixed U.S. data (Adds details)
TORONTO, Feb 26 (Reuters) - Toronto’s main stock index seesawed on Friday morning before heading higher as investors weighed stronger resource prices against mixed U.S. economic data.
The U.S. economy grew a touch faster than initially thought in the fourth quarter, soothing recent concerns about the strength of the rebound. [ID:nN26169261]
However, economic data that showed the U.S. housing market has not yet fully stabilized and weakening consumer sentiment left investors feeling cautious. [ID:nN26167386] [ID:nN26171094]
“It’s a good news, bad news scenario. It’s good news that it’s recovering, but the bad news is that it’s going to be a slow economic recovery. But, the fear of rising rates is just not there,” said Ian Nakamoto, director of research at MacDougall, MacDougall & MacTier.
Nakamoto said that, while the U.S. Federal Reserve’s recent move to hike the discount rate may be a first step to higher interest rates, that second step was still “several miles away.”
At 10:45 a.m. (1545 GMT), the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE was up 23.67 points, or 0.2 percent, at 11,655.11.
Sovereign debt worries in Greece continue to linger, Nakamoto said, but Canada’s wealth in resources such as energy or metals was a strong offsetting factor that should support the TSX.
“Canada is still a great place to invest in. Canada has what the worlds wants, and Canada doesn’t have what the world doesn’t want.” (Reporting by Ka Yan Ng; editing by Rob Wilson)