November 2, 2011 / 3:36 PM / 6 years ago

CANADA STOCKS-TSX up more than 1 pct as resource firms rally

* TSX up 190.77 pts, or 1.6 pct, to 12,299.97

* Materials, energy sectors rise more than 2 pct

* Gold, oil prices rise

* Greece, Euro fears still weigh

By Jon Cook

TORONTO, Nov 2 (Reuters) - Toronto’s main stock index jumped more than 1 percent on Wednesday, following two days of sharp losses on Greek debt concerns, as energy and mining stocks followed commodity prices higher.

Oil, copper and other commodities all rose, helped by upbeat U.S. jobs data, following their vicious sell-off on yesterday’s surprise announcement of a Greek referendum vote on a euro zone rescue package.

Still, investors’ concern about the solvency of Greece and the euro zone’s financial stability were expected to continue to set direction for the resource-heavy Canadian market.

“What’s driving the market today is the macroeconomic European stuff and the sentiment swing surrounding that,” said Rick Hutcheon, president and chief operating officer at RKH Investments.

The Toronto Stock Exchange’s S&P/TSX composite index rose 190.77 points, or 1.6 percent, to 12,299.97 late on Wednesday morning, following a two-day decline to start the week.

The heavily weighted materials sector, up 2.5 percent, played the biggest role in lifting the market, with the base metal miner subsector up 3.4 percent and gold producers up 2.4 percent.

Materials were led higher by Barrick Gold, which climbed for the second straight day, rising 2.9 percent to C$51.72. Potash Corp was also up 2.6 percent to C$47.68.

The energy sector also rallied after a 3 percent fall the previous day, gaining 2.2 percent as oil prices rebounded slightly.

Suncor Energy , up 2.6 percent to C$31.73, and Canadian Natural Resources , up 2.9 percent to C$35.05, were the biggest gainers.

Hutcheon said the market appeared to be getting close to setting a bottom, noting: “We’re probably getting down to the levels where we’re reasonably oversold and selective value in the Canadian marketplace is starting to creep in.”

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below