December 3, 2014 / 3:58 PM / 3 years ago

CANADA STOCKS-TSX climbs as U.S. data, energy shares support

* TSX up 130.93 points, or 0.9 percent, at 14,751

* Six of 10 main index sectors advance

* Energy shares jump 2.7 percent

By John Tilak

TORONTO, Dec 3 (Reuters) - Canada’s main stock index advanced on Wednesday as positive U.S. economic data strengthened hopes for a solid recovery and higher commodity prices helped drive up shares of natural resource producers.

Investors also digested news that Royal Bank of Canada reported stronger quarterly profit, with gains at its core personal and commercial banking and wealth management businesses offsetting weakness at its capital markets arm. The stock was up slightly.

Figures released on Wednesday showed that U.S. private employers added jobs at a brisk pace in November.

Oil and gas shares have been pounded in recent weeks over concerns about increasing supply and sluggish demand. And last week’s decision by the Organization of the Petroleum Exporting Countries to keep production steady sent oil prices and energy shares over the edge.

The heavyweight energy sector has lost nearly a third of its value since the middle of June, weighing sharply on the broader benchmark.

“Oil prices will continue to deteriorate,” said John Stephenson, president of Stephenson & Co Capital Management. “We’re into a long period of lower production out of Canada, and lower prices globally.”

“The volatility that you’re seeing will continue because the industry is overwhelmingly unprepared,” he added.

The Toronto Stock Exchange’s S&P/TSX composite index was up 130.93 points, or 0.9 percent, at 14,751. Six of the 10 main sectors on the index were higher.

Shares of energy producers jumped 2.7 percent, with the price of U.S. crude oil gaining more than 1 percent. Suncor Energy Inc added 3.2 percent to C$37.76 and had the biggest positive influence on the market. Canadian Natural Resources Ltd climbed 1.8 percent to C$39.88.

The gold-mining sector rose 3.5 percent, reflecting strength in the bullion price. Barrick Gold Corp advanced 3.3 percent to C$14.03, and Goldcorp Inc was up 2.2 percent at C$23.77. (Editing by James Dalgleish)

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