By John McCrank
TORONTO, Sept 16 (Reuters) - Toronto's main stock index rose for a fifth-straight session on Wednesday, lifted by a rally in the energy and materials sectors as investors bet the economy may be set to turn around.
The upbeat mood helped lift the index to its highest level since mid-October.
Heavyweight gainers included Barrick Gold, which rose 1 percent to C$41.09, and Iamgold, up 3.3 percent to C$16.74.
U.S. gold futures closed near a 14-month high above $1,020 per ounce as the U.S. dollar fell to a 2009 low against the euro and investors sought the metal as a hedge against inflation.
Other metals, such as copper, aluminum and zinc, were lifted along with gold. Base metals miner Teck Resources rose 2.6 percent to C$30.00.
'Investors are playing the global recovery theme and also the lower U.S. dollar theme, and the way to play that is through commodities and through Canadian dollars,' said Ian Nakamoto, director of research at MacDougall, MacDougall & MacTier.
The S&P/TSX composite index ended up 59.77 points, or 0.52 percent, at 11,555.60. Seven of the TSX's 10 main groups advanced.
Nakamoto said investors were emboldened by U.S. Federal reserve Chairman Ben Bernanke's comments on Tuesday that the recession was essentially over. Strong U.S. data, namely Tuesday's manufacturing and retail sales reports, also helped, he said.
'In a very short period of time it seems like we've gone from a stage of fear to almost greed now. Whereas, last year, people would take a 10 percent return, now I think people are looking for the big-game hunting,' he said.
Suncor Energy was the biggest index gainer of the day, up 2 percent at C$39.44. Other companies from the oil patch also made solid gains, with Canadian Natural Resources up 1.1 percent at C$73.85, and Canadian Oil Sands Trust rising 2.8 percent to C$29.06.
Crude futures rose above $72, finishing up more than 2 percent, after data showed U.S. crude inventories fell more than expected last week, indicating higher demand. .
'This is pretty wide strength in energy and materials, which is 45 percent of the index,' said Gavin Graham, Director of Investments at BMO Asset Management.
Graham added that insurer Manulife Financial, up 1.5 percent at C$21.65, was also a big mover, pointing to overall strength in equities and to investor confidence.
($1=$1.07 Canadian)
(Reporting by John McCrank; editing by Rob Wilson) Keywords: MARKETS CANADA STOCKS ============================================================== FOR CANADIAN MARKETS NEWS, CLICK ON CODES IN BRACKETS: TSX market report........................................ Canadian dollar and bonds report................... Top News: Canada .................................... Today in Canada..................................... Canadian company news ................................ Reuters global stocks poll (Canada)... FOR CANADIAN MARKETS DATA, CLICK ON CODES IN BRACKETS: Canadian Equities speed guide...................... S&P/TSX Composite index ............................. S&P/TSE Venture composite index ..................... TSX most active....................................... Venture Exchange most active........................... Top TSX pct gainers................................... Top TSX pct losers.................................... S&P/TSX 60 index ..................................... 52 week highs: TSX............... Venture.............. 52 week lows: TSX............... Venture.............. Canadian dollar quote..................... FOR MAIN GLOBAL MARKET DATA AND MARKET REPORTS: FTSE EUROTOP 300 ..... EUROPEAN REPORT ....... Nikkei 225............. Tokyo report............ FTSE 100............... London report........... Xetra DAX............. Frankfurt market stories CAC-40................. Paris market stories... World Indices..................................... Foreign exchange...................................... Oil.................................................... US Treasuries.......................................... International bonds................................... Gold....................................... or CRB index of commodity futures........................ (john.mccrank@thomsonreuters.com; +1 416 941 8083; Reuters Messaging: john.mccrank.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
TORONTO, Sept 16 (Reuters) - Toronto's main stock index rose for a fifth-straight session on Wednesday, lifted by a rally in the energy and materials sectors as investors bet the economy may be set to turn around.
The upbeat mood helped lift the index to its highest level since mid-October.
Heavyweight gainers included Barrick Gold, which rose 1 percent to C$41.09, and Iamgold, up 3.3 percent to C$16.74.
U.S. gold futures closed near a 14-month high above $1,020 per ounce as the U.S. dollar fell to a 2009 low against the euro and investors sought the metal as a hedge against inflation.
Other metals, such as copper, aluminum and zinc, were lifted along with gold. Base metals miner Teck Resources rose 2.6 percent to C$30.00.
'Investors are playing the global recovery theme and also the lower U.S. dollar theme, and the way to play that is through commodities and through Canadian dollars,' said Ian Nakamoto, director of research at MacDougall, MacDougall & MacTier.
The S&P/TSX composite index ended up 59.77 points, or 0.52 percent, at 11,555.60. Seven of the TSX's 10 main groups advanced.
Nakamoto said investors were emboldened by U.S. Federal reserve Chairman Ben Bernanke's comments on Tuesday that the recession was essentially over. Strong U.S. data, namely Tuesday's manufacturing and retail sales reports, also helped, he said.
'In a very short period of time it seems like we've gone from a stage of fear to almost greed now. Whereas, last year, people would take a 10 percent return, now I think people are looking for the big-game hunting,' he said.
Suncor Energy was the biggest index gainer of the day, up 2 percent at C$39.44. Other companies from the oil patch also made solid gains, with Canadian Natural Resources up 1.1 percent at C$73.85, and Canadian Oil Sands Trust rising 2.8 percent to C$29.06.
Crude futures rose above $72, finishing up more than 2 percent, after data showed U.S. crude inventories fell more than expected last week, indicating higher demand. .
'This is pretty wide strength in energy and materials, which is 45 percent of the index,' said Gavin Graham, Director of Investments at BMO Asset Management.
Graham added that insurer Manulife Financial, up 1.5 percent at C$21.65, was also a big mover, pointing to overall strength in equities and to investor confidence.
($1=$1.07 Canadian)
(Reporting by John McCrank; editing by Rob Wilson) Keywords: MARKETS CANADA STOCKS ============================================================== FOR CANADIAN MARKETS NEWS, CLICK ON CODES IN BRACKETS: TSX market report........................................ Canadian dollar and bonds report................... Top News: Canada .................................... Today in Canada..................................... Canadian company news ................................ Reuters global stocks poll (Canada)... FOR CANADIAN MARKETS DATA, CLICK ON CODES IN BRACKETS: Canadian Equities speed guide...................... S&P/TSX Composite index ............................. S&P/TSE Venture composite index ..................... TSX most active....................................... Venture Exchange most active........................... Top TSX pct gainers................................... Top TSX pct losers.................................... S&P/TSX 60 index ..................................... 52 week highs: TSX............... Venture.............. 52 week lows: TSX............... Venture.............. Canadian dollar quote..................... FOR MAIN GLOBAL MARKET DATA AND MARKET REPORTS: FTSE EUROTOP 300 ..... EUROPEAN REPORT ....... Nikkei 225............. Tokyo report............ FTSE 100............... London report........... Xetra DAX............. Frankfurt market stories CAC-40................. Paris market stories... World Indices..................................... Foreign exchange...................................... Oil.................................................... US Treasuries.......................................... International bonds................................... Gold....................................... or CRB index of commodity futures........................ (john.mccrank@thomsonreuters.com; +1 416 941 8083; Reuters Messaging: john.mccrank.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.