July 30, 2009 / 8:30 PM / 10 years ago

CANADA STOCKS-TSX breaks 2-day slide on resources rush

* TSX up 2.12 percent at 10,676.72

* Higher commodity prices drive gains from opening bell

* All 10 main sectors in higher territory (Adds details, comments)

By Ka Yan Ng

TORONTO, July 30 (Reuters) - A swift return to hopes of economic recovery and a rally in prices for key Canadian commodities helped push Toronto’s main stock index higher by 2 percent on Thursday.

The TSX shot higher from the get-go and hardly looked back as all 10 sectors advanced strongly, allowing the overall market to make up nearly all of the last two days of declines.

Extra credit for the rally went to the energy and materials sectors, up 2.44 percent and 3.29 percent, respectively, as the price of oil and gold rebounded from recent pressure.

Oil jumped more than 5 percent towards $67 a barrel, while gold tracked oil’s rise, as U.S. economic data sparked fresh optimism that the recession may be bottoming out. [ID:nSP411146]

Shares of Suncor Energy (SU.TO) led all influential advancers, up 4.44 percent at C$34.80, while Canadian Natural Resources (CNQ.TO) rose 3.56 percent to C$63.95.

Driving the TSX’s mining-heavy materials sector were shares of Barrick Gold Corp (ABX.TO), up 2.99 percent at C$36.82, while gold miner Agnico-Eagle (AEM.TO) rallied 7.44 percent to C$61.08. Both companies reported quarterly results that topped estimates.

“As long as economic indicators point upward and earnings are doing better than estimates, in general I think the market’s got a lot of fire under it,” said Ian Nakamoto, director of research at MacDougall, MacDougall & MacTier.

The Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE finished up 221.39 points, or 2.12 percent, at 10,676.72.

$1=$1.08 Canadian Editing by Rob Wilson

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below