CANADA STOCKS-TSX rallies on strength in commodities

*TSX up 104.02 points at 11,669.78

*Resources lead index higher
(Updates with details, commentary) (Read more stock market commentary today.

By Claire Sibonney

TORONTO, July 13 (BestGrowthStock) – Toronto’s main stock index
shot higher on Tuesday morning as commodity prices rose and
drove up weighty resource shares.

The Thomson Reuters-Jefferies CRB index (.CRB: ), a global
benchmark of 19 different commodities including metals, was up
more than 1 percent, and the index’s materials group jumped 1.2
percent in reaction.

Base metals miner Teck Resources (TCKb.TO: ) rose 1.4 percent
to C$34.91, while Barrick Gold Corp (ABX.TO: ) added 0.6 percent
to C$45.46.

Powerhouse energy shares, up 1.2 percent, benefited as oil
and natural gas prices rose.

Suncor Energy (SU.TO: ) added 1.1 percent to C$33.45, and
EnCana Corp (ECA.TO: ) gained 0.8 percent to C$34.67.

“Commodities and hard assets are becoming the only store of
value that many more sophisticated investors are looking to and
Canada happens to have a lot of this type of stuff,” said Aaron
Fennell, senior markets strategist at Lind-Waldock.

“Gold, crude oil, stuff that you have a fixed amount of, it
can’t be inflated away, it’s needed by the rest of the world —
and that’s the cornerstone of the whole commodity boom these

He added that Canada is becoming more attractive in the
commodity space because of its perceived safety and credibility
at a time when world markets are worried by sovereign debt

At 10:24 a.m. (1424 GMT), the Toronto Stock Exchange’s
S&P/TSX composite index (.GSPTSE: ) was up 104.02 points, or 0.9
percent, at 11,669.78. All of its 10 sectors were higher.

The financial sector advanced 0.7 percent.

Royal Bank of Canada (RY.TO: ), the country’s biggest lender,
was up 0.8 percent at C$54.80 after its chief executive said
the bank is on the lookout for acquisitions. [ID:nLDE66C174]

Gluskin Sheff + Associates (GS.TO: ) rose 0.8 percent to
C$17.30, after the wealth manager said it sees a 90 percent
increase in performance fees on a sequential basis and said it
may pay a special dividend. [ID:nSGE66B0IW]

Also supporting the risk-on environment, better than
expected quarterly results from Alcoa Inc (AA.N: ) and CSX Corp
(CSX.N: ) late Monday gave a promising start to the earnings
season, sparking a broad rally in the United States. [.N]

The market showed little reaction to data that showed
strong demand from Canadian businesses and consumers triggered
a surge in imports in May that outpaced exports, leading to a
third consecutive monthly trade deficit. [ID:nN13232203]

($1=$1.03 Canadian)
(Reporting by Claire Sibonney; editing by Peter Galloway)

CANADA STOCKS-TSX rallies on strength in commodities