* TSX rises 69.50 points, or 0.56 percent, to 12,533.61
* Six of 10 main sectors advance
* Tim Hortons slips after profit drops
By John Tilak
TORONTO, May 8 Canada's main stock index hit a
near one-month high on Wednesday as positive data out of China
and Germany lifted hopes for a strong global economic recovery
and boosted commodities shares.
China's exports and imports grew more than expected in
April, offering the possibility of a better outlook for the
world's second-largest economy, while German industrial output
unexpectedly jumped in March.
The resource-sensitive Toronto index tends to react sharply
to developments in China, a big consumer of commodities from
Canada, because of its large exposure to materials and energy
The market's gains, led by gold and energy producers,
extended into the fifth straight session. The TSX has risen
nearly 1 percent on the year, recovering from a massive
commodity-led selloff last month while still trailing growth at
major indices like the S&P 500.
"Equities are benefiting from a 'Goldilocks environment',"
said Stan Wong, vice president and portfolio manager at
Macquarie Private Wealth.
"The economies are not too hot to stop the monetary easing
policies of the central banks and not too cold to cause
corporate earnings to slip into negative territory," he said.
The Toronto Stock Exchange's S&P/TSX composite index
was up 69.50 points, or 0.56 percent, at 12,533.61. It
earlier reached 12,551.08, its highest point since April 10.
Six of the 10 main sectors on the index were higher.
The materials sector, which includes mining stocks, rose
2.2 percent, helped by higher gold shares. The price of bullion
rose more than 1 percent, thanks to a weaker dollar and robust
"We're seeing a reflex bounce from the capitulation several
weeks ago," Wong said, referring to strength in gold shares and
the price of the commodity. "We'll probably not see much more
Oil prices rose as well and helped fuel a 0.7 percent rise
in shares of energy companies.
Financials, the index's most heavily weighted sector, gained
In company news, Tim Hortons Inc named a new chief
executive and reported a 3 percent fall in first-quarter profit.
The stock lost 3 percent to C$56.86.
Quebecor Inc fell nearly 4 percent after the media
and telecommunications company's first-quarter profit halved due
to higher costs, a sharp drop in media revenue and lower gains
on financial instruments.