TSX hovers near record high as gold prices boost miners

Canada's main stock index held near record-high levels on Wednesday, as higher gold prices helped the heavyweight mining sector offset losses in energy stocks weighed down by oil market volatility.

At 9:42 a.m. ET (13:42 GMT), the Toronto Stock Exchange's S&P/TSX composite index was up 15.92 points, or 0.08%, at 20,511.66.

The materials sector, which includes precious and base metals miners and fertilizer companies, added 1.3%. It was the top boost to the benchmark index as gold prices jumped 1% after slowing US inflation growth saw markets scaling back their expectations for early tapering by the Federal Reserve.

The energy sector dropped 0.6% as oil prices sank after the United States urged the OPEC+ to increase supply.

Oil drops below $70 as US urges OPEC+ to pump more

The financials sector gained 0.2%. The industrials sector rose 0.1%.

On the TSX, 122 issues advanced, while 99 issues declined in a 1.23-to-1 ratio favoring gainers, with 15.16 million shares traded.

The largest percentage gainer on the TSX was ATS Automation Tooling Systems, which jumped 8.4% after its quarterly results beat estimates.

Canada Goose fell 12.3%, the most on the TSX, despite its quarterly results beating expectations, as it could face headwinds from a resurgence in COVID-19 cases.

The most heavily traded shares by volume were Manulife Financial, Bombardier Inc and Enbridge Inc .

The TSX posted 15 new 52-week highs and one new low.

Across Canadian issues, there were 69 new 52-week highs and four new lows, with total volume of 29.74 million shares.