CANADA STOCKS-TSX climbs as resources gain on Ukraine tension

Mon Apr 14, 2014 11:15am EDT

Related Topics

* TSX rises 37.88 points, or 0.27 percent, to 14,295.57
    * Six of the 10 main index sectors advance
    * Enbridge slips after B.C. town votes against pipeline

    By John Tilak
    TORONTO, April 14 (Reuters) - Canada's main stock index
advanced on Monday as concerns about  instability in Ukraine
lifted oil and bullion prices, pushing up the shares of
producers of the safe-haven resources.
    The market was also encouraged by data showing U.S. retail
sales recorded their largest gain in 1-1/2 years in March.
 
    Driving the investor move to safe havens, pro-Russian
separatists have been occupying government buildings in eastern
Ukraine, while another group of rebels attacked a police
headquarters, raising fears that the crisis might be spiraling
out of control. 
    Global stock markets have been highly volatile in recent
weeks over concerns about stretched valuations and the U.S.
Federal Reserve's monetary policy.
    The Toronto stock market's benchmark index, which lost about
1 percent last week, is up about 5 percent this year, and has
outperformed the S&P 500 index so far this year.
    "The overall sentiment is cautious," said Irwin Michael,
portfolio manager at ABC Funds. "But we think stocks are good
value, and we believe that the various stock indices will end
the year higher than where they are today."
    "Many of the pundits are favoring the U.S. market over
Canada, but we're taking a contrarian view," he added. "We think
the Canadian resource sector will do better."
    The Toronto Stock Exchange's S&P/TSX composite index
 was up 37.88 points, or 0.27 percent, at 14,295.57.
Six of the 10 main sectors on the index were higher.
    Gold-mining shares jumped 2.2 percent, reflecting gains in
the price of the precious metal. Goldcorp Inc added 1.6
percent to C$26.87, and Barrick Gold Corp advanced 1.5
percent to C$20.75.
    Energy shares rose 0.5 percent, with higher oil prices
driving the gains. Suncor Energy Inc climbed 0.5 percent
to C$39.66, and Canadian Natural Resources Ltd was up
0.3 percent at C$43.43.
    In corporate news, residents of the British Columbia town of
Kitimat voted this weekend against the proposed Northern Gateway
pipeline project in a blow to Enbridge Inc's efforts to
expedite the flow of crude from Canada's oil sands to markets in
Asia. Enbridge shares gave back 0.9 percent to C$50.70.
 
    ($1=$1.10 Canadian)

 (Editing by Peter Galloway)
FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.