CANADA STOCKS-TSX gains on surge in golds, U.S. jobs data

Wed Mar 6, 2013 11:40am EST

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* TSX rises 85.35 points, or 0.67 percent, to 12,821.39
    * Nine of 10 main index sectors advance
    * Materials group climbs 2.5 percent
    * Torstar shares fall about 9 percent on results, outlook

    By John Tilak
    TORONTO, March 6 (Reuters) - Canada's main stock index rose
on Wednesday with gold-mining shares leading the way on higher
gold prices and sentiment getting a boost from data showing
robust U.S. private-sector hiring, which bolstered hopes for a
global economic recovery.
    U.S. private employers added a larger-than-expected 198,000
jobs in February, a report by a payrolls processor showed.
 
    The market was also encouraged by comments from central
bankers around the world indicating they are likely to stick to
their easy monetary policies.
    "No one is taking the punch bowl away yet," said Paul Hand,
managing director at RBC Capital Markets. "In the short term,
investors aren't worried about any dramatic shift in interest
rate policy or liquidity positions."
    "You've got the fragile economy in the U.S. and in Europe
you have an economy ranging from barely moving forward to still
looking for a bottom," he added.
    In Canada, the central bank softened its stance on the need
for interest rate hikes on Wednesday, saying it will likely hold
its benchmark rate steady for "a period of time" but that its
next move would still probably be a hike rather than a cut.
 
    The Toronto Stock Exchange's S&P/TSX composite index
 was up 85.35 points, or 0.67 percent, at 12,821.39.
Nine of the 10 main sectors on the index were higher.
    The materials sector, which includes mining stocks, made the
biggest gains, climbing 2.5 percent, aided by a rise in gold
prices. 
    Goldcorp Inc added 3.7 percent to C$34.10, and
Barrick Gold Corp was up 2.9 percent to C$30.16. 
    Energy shares gained 0.7 percent, with Suncor Energy Inc
 rising 1.2 percent to C$31.21.
    In company news, Torstar Corp, publisher of the
Toronto Star, Canada's largest daily newspaper, cut 67 jobs and
said it would rein in costs in 2013 as it reported a big drop in
quarterly profit and said the revenue outlook for its main media
business was uncertain. The stock shed 9.1 percent to C$7.20.
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