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CANADA STOCKS-TSX rises as resource stocks lead bounce
April 28, 2017 / 3:48 PM / 7 months ago

CANADA STOCKS-TSX rises as resource stocks lead bounce

* TSX rises 93.57 points, or 0.6 percent, to 15,600.04

* Eight of the TSX’s 10 main groups move higher

TORONTO, April 28 (Reuters) - Canada’s main stock index rose on Friday as natural resource stocks led a broad rally on a mix of higher commodity prices and positive corporate earnings.

Gold miner Agnico Eagle Mines Ltd surged 9.3 percent to C$64.54 after beating profit and revenue estimates and upping its production forecast after the bell on Thursday.

The broader materials group, which includes precious and base metals miners and fertilizer companies, added 2.3 percent, with gold and copper prices both moving higher.

The energy group climbed 1.5 percent as oil prices rose from a one-month low, with Suncor Energy Inc, the country’s largest oil and gas producer, up 2.2 percent to C$42.65.

Suncor posted a profit beat late on Wednesday and said it planned to buy back shares.

At 11:00 a.m. ET (1500 GMT), the Toronto Stock Exchange’s S&P/TSX composite index rose 93.57 points, or 0.6 percent, to 15,600.04. Eight of its 10 main sectors gained.

The index is on track to end flat over the course of the week.

The most influential weights on the index included Cameco Corp, which fell 7.5 percent to C$13.21 after the world’s second-biggest uranium producer posted a bigger-than-expected quarterly loss, partly hurt by the termination of a contract by the operator of Japan’s wrecked Fukushima nuclear plant.

Bombardier Inc also fell, down 4.1 percent to C$2.11 after Boeing asked the U.S. government to investigate alleged subsidies and unfair pricing of the Canadian planemaker’s new CSeries airplane.

Beleagured alternative mortgage lender Home Capital Group fell 2.1 percent to C$7.85 as depositors withdrew more cash, from savings accounts that help fund its mortgage book, although the pace of exits had slowed.

”It may be a great buying opportunity for someone, either on the long side or outright as an acquisition, but you got to know what’s in that book, said John Stephenson, president at Stephenson & Company Capital Management.

The financials group gained 0.6 percent.

The Canadian economy stalled in February after a healthy start to the year but is still on track to meet and possibly exceed the Bank of Canada’s forecast for first-quarter annualized growth, analysts said. (Reporting by Alastair Sharp and Fergal Smith; Editing by Andrea Ricci)

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