CANADA STOCKS-TSX climbs as upbeat China data drives resources

Wed Jul 16, 2014 10:52am EDT

* TSX up 109.61 points, or 0.73 percent, at 15,190.93
    * Nine of 10 main index sectors advance
    * BlackBerry dives after IBM-Apple partnership

    By John Tilak
    TORONTO, July 16 (Reuters) - Canada's main stock index
advanced on Wednesday as positive economic data from China
helped boost commodity prices and shares in the natural resource
sectors.
    Providing further support, figures from the U.S. Labor
Department showed producer prices rose more than expected in
June with gains across most categories. 
    China's economic growth picked up slightly in the second
quarter, topping market expectations, as it benefited from the
government's stimulus measures. 
    "It should create more demand for resources. That's a
positive," said Andy Nasr, managing director and senior
portfolio manager at Middlefield Capital.
    "An improvement in the U.S. economy will have a very good
impact on the Canadian economy," he added.
    The Toronto Stock Exchange's S&P/TSX composite index
 was up 109.61 points, or 0.73 percent, at 15,190.93.
    The index is up nearly 12 percent this year, but some
investors are worried about valuations getting extended and the
likelihood of a possible correction.
    "We're susceptible to a pullback, but I will use a pullback
as a buying opportunity," Nasr said.
    Nine of the 10 main sectors on the index were higher on
Wednesday.
    Financials, the index's most heavily weighted sector, added
0.6 percent. Bank of Nova Scotia gained 0.9 percent to
C$73.38.
    Shares of energy producers reflected a rise in the price of
U.S. crude oil. Suncor Energy Inc climbed 1.1 percent to
C$44.67, and Canadian Natural Resources Ltd rose 1.1
percent to C$47.92.
    The gold-mining sector rebounded with the bullion price
after sharp declines in the previous two sessions. Goldcorp Inc
 advanced 1 percent to C$29.31, and Barrick Gold Corp
 jumped 1.3 percent to C$19.97.
    Barrick was also in the news for announcing that Chief
Executive Officer Jamie Sokalsky would step down on Sept. 15.
 
    BlackBerry shares tumbled 5.3 percent, to C$11.50, a
day after International Business Machines Corp said it
planned to partner with Apple Inc to sell iPhones and
iPads loaded with applications geared to business users.
 

 (Editing by Tom Brown)
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