CANADA STOCKS-China data, Valeant push TSX higher

Mon Jun 2, 2014 4:46pm EDT

* TSX rises 76.56 points, or 0.52 percent, to 14,680.72
    * Seven of 10 main index sectors advance
    * Valeant climbs as it looks to take Allergan bid hostile
    * Centerra Gold dives after company threatens to shut down
mine

    By John Tilak
    TORONTO, June 2 (Reuters) - Canada's main stock index
climbed on Monday as bullish Chinese economic data helped drive
gains in most major sectors, while Valeant Pharmaceuticals
 rose as it prepared to go hostile with its takeover bid
for Allergan Inc.
    Official figures showed Chinese factory activity expanded in
May at its fastest pace in five months, easing some worries
about growth in the world's second-biggest economy.
 
    Prices of copper futures were higher, driving up shares of
some mining companies. Energy stocks, which are among the
strongest performers this year, climbed despite weakness in the
price of oil.
     The export-driven Canadian market tends to react to major
economic news from China, a big consumer of commodities.
    Investors were not looking to take major positions ahead of
the monthly U.S. jobs report on Friday, which will off insight
on the state of the world's biggest economy. 
    "It's going to be pretty quiet until the unemployment
numbers come in," said Paul Harris, portfolio manager at Avenue
Investment Management.
    He expects more strength from the Canadian equity market
this year but is not sure if it will outperform the U.S. stock
market.
    Harris said he was comfortable investing in the energy
sector. "Our view is that you can selectively own these
companies and do quite well with them." 
    The Toronto Stock Exchange's S&P/TSX composite index
 closed up 76.56 points, or 0.52 percent, at 14,680.72.
Seven of the 10 main sectors on the index were higher.
    Shares of energy producers advanced 0.8 percent. Suncor
Energy Inc rose 1.3 percent to C$42.04, and Canadian
Natural Resources Ltd was up 0.9 percent at C$44.54.
    Financials, the index's most heavily weighted sector, added
0.4 percent, with Toronto Dominion Bank climbing 0.4
percent to C$53.99.
    With copper futures up about 1.3 percent, diversified miner
Teck Resources Ltd gained 1.4 percent to C$24.50.
    In corporate news, Valeant prepared to take its $53.8
billion takeover bid for Allergan directly to the Botox maker's
shareholders, and ally Pershing Square called for a meeting to
turn over the target company's board. Valeant shares jumped 2.7
percent to C$146.17. 
    Centerra Gold Inc gave back 19.7 percent, to C$3.70,
after the company said it will begin to shut down operations at
its Kumtor gold mine in Kyrgyzstan unless its new mine plan is
approved by the government and permits are issued by June 13.
 

 (Editing by W Simon and Dan Grebler)
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