TSX gains on energy boost, China optimism

Canada's main stock index rose on Monday, driven by gains in energy stocks and as strong economic data from China boosted sentiment.

• The energy sector climbed 3.3% as US crude prices were up 0.2% a barrel, while Brent crude added 0.1%.

  • Optimism spilled over from Asian trading hours after data over the weekend showed profits at China's industrial firms grew for the fourth straight month in August.

  • At 9:37 a.m. ET (13:37 GMT), the Toronto Stock Exchange's S&P/TSX composite index was up 192.8 points, or 1.2%, at 16,258.15.

• The financials sector gained 1.6%. The industrials sector rose 1.3%.

  • On the TSX, 210 issues were higher, while 12 issues declined for a 17.50-to-1 ratio favoring gainers, with 12.58 million shares traded.

  • The largest percentage gainer on the TSX was paper and packaging company Cascades Inc, which rose 11% after brokerage RBC upgraded the rating of the stock to "sector perform" from "underperform."

  • Its gains were followed by methanol producer Methanex Corp , which gained 2.52%.

  • Lundin Mining Corporation fell 9.4%, the most on the TSX, after a fatal accident at its Neves-Corvo mine in Portugal, while the second-biggest decliner was real estate company Altus Group Ltd, which lost 6.45%.

• The most heavily traded shares by volume were Lundin Mining Corporation, Green Organic Dutchman Holdings Ltd and Just Energy Group Inc.

  • The TSX posted six new 52-week highs and no new lows.

  • Across all Canadian issues there were 15 new 52-week highs and one new low, with total volume of 25.03 million shares.