TSX rises as CP Rail and Cameco gain

TORONTO (Reuters) - Canada’s main stock index moved higher in morning trade on Thursday, helped by a jump in Canadian Pacific Railway shares and a rebound in uranium producer Cameco Corp.

A man walks past an old Toronto Stock Exchange (TSX) sign in Toronto, June 23, 2014. REUTERS/Mark Blinch

At 10:38 a.m. ET (1538 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 46.77 points, or 0.3 percent, to 15,444.62.

Canadian Pacific Railway CP.TO, which rose 4.6 percent to C$201.40 a day after saying its chief executive would leave five months earlier than originally expected and reported a lower-than-expected adjusted quarterly profit.

The industrials group rose 1 percent overall.

Uranium producer Cameco Corp CCO.TO bounced 7.9 percent higher to C$15.53 after a nearly 17-percent fall on Wednesday after a profit warning.

Oil rallied from a one-week low as the International Energy Agency said oil markets were tightening even before cuts agreed by OPEC and other producers took effect.

The index’s energy group, which also includes Cameco, climbed 0.4 percent.

Milestone Apartments Real Estate Investment Trust MST_u.TO advanced 9.5 percent to C$21.52 after a unit of private investment firm Starwood Capital Group said it would buy the REIT in a deal valued at about $2.85 billion.

The heavyweight energy and financial groups were barely higher, while the materials group, which includes precious and base metals miners and fertilizer companies, lost 0.3 percent.

Gold miners fell as gold steadied after its biggest fall in more than a month in the previous session on Federal Reserve chair Janet Yellen’s indication that the U.S. central bank would press ahead with interest rate increases.

Goldcorp Inc G.TO lost 1.6 percent to C$19.92.

Seven of the index’s 10 main groups were in positive territory, with three gainers for every two decliners.

Foreign investment in Canadian securities dropped to an 11-month low in November, with non-residents buying a net C$7.24 billion ($5.44 billion) worth of bonds, stocks and money market paper, Statistics Canada said on Thursday.

In a separate report, the statistics agency said Canadian manufacturing sales rebounded in November, jumping by 1.5 percent from October on increases in the primary metal, petroleum and coal industries.

Reporting by Alastair Sharp; Editing by Nick Zieminski