CANADA STOCKS-TSX ticks higher as U.S. data supports

Tue Dec 14, 2010 11:00am EST

 * TSX up 17.52 points, or 0.13 pct, at 13,313.38
 * Eight of TSX's 10 main groups higher
 (Adds details, quote)
 By Jennifer Kwan
 TORONTO, Dec 14 (Reuters) - Toronto's main stock index
edged higher on Tuesday morning, propped up by better than
expected U.S. retail data that pointed to healthy consumer
spending during the holiday season.
 Investor sentiment got a lift from U.S. data that showed
upbeat U.S. retail sales in November, while producer prices
rose, offering further evidence the economic recovery gathered
steam in the fourth quarter. [ID:nN14261708] [ID:nN14249682]
 "Profits should be very strong as you got a much better
retail sales number, you have small business optimism improving
in the U.S. Those are strong things," said Barry Schwartz,
vice-president and portfolio manager at Baskin Financial
 A mix of names topped the list of influential movers on the
upside including economy-linked bank stocks. Bank of Nova
Scotia (BNS.TO) was up 0.3 percent at C$56.74, while Canadian
Imperial Bank of Commerce (CM.TO) climbed 0.9 percent to
 Among heavyweight energy issues, Imperial Oil (IMO.TO) rose
0.7 percent to C$38.48.
 At 10:25 a.m. (1525 GMT), the S&P/TSX composite index
.GSPTSE was up 17.52 points, or 0.13 percent, at 13,313.38.
The index had briefly turned negative shortly after the open,
but quickly recovered.
 Eight of the index's 10 sectors were higher.
 Still, Schwartz said TSX gains were kept in check by
weakness in some gold mining issues, while the broader market
was also a little cautious ahead of the U.S. Federal Reserve's
policy decision later in the day. [nFEDAHEAD]
 "At the moment, we're being held down by gold stocks
because you got much better economic data out of the U.S.,
which means the U.S. dollar is stronger which is less bullish
for people who believe gold is the best alternative currency,"
he said.
 Agnico Eagle (AEM.TO) was down 0.9 percent at C$82.68 and
Barrick Gold (ABX.TO) shed 0.2 percent at C$54.22. [GOL/]
 Elsewhere, Manulife Financial (MFC.TO) fell 1.4 percent to
C$16.55, after Standard & Poor's cut its ratings on Manulife
debt, citing concern about the insurer's U.S. earnings
potential and capital risks. [ID:nN13136533]
 Telus Corp (T.TO), up 1.2 percent at C$46.95, said on
Tuesday it expects to see both earnings and revenue rise in
2011, driven primarily by growth in its wireless and data
businesses, along with lower financing costs. [ID:nN14259944]
 ($1=$1.01 Canadian)
 (Reporting by Jennifer Kwan; editing by Rob Wilson)

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