(Updates market action with earnings results, analyst's
comments)
* TSX up 87.31 points, or 0.61 percent, to 14,470.09
* Seven of the TSX's 10 main groups rise
By Solarina Ho
TORONTO, July 31 (Reuters) - Canada's main stock index was
headed for its fourth straight day of gains on Friday with the
heavily weighted financials and materials sectors leading the
way as investors sought value after a bleak couple of months for
the market.
The rise came despite losses in oil and gas stocks, which
were hurt by a drop in crude prices after output numbers showed
the OPEC producers were pumping near record levels into an
already oversupplied market. O/R
At 11:18 a.m. EDT (1518 GMT), the Toronto Stock Exchange's
S&P/TSX composite index .GSPTSE was up 87.31 points, or 0.61
percent, at 14,470.09.
Seven of the index's 10 primary sectors rose. Advancing
issues outnumbered declining ones for a 1.68-to-1 ratio.
"We've really taken a beating here in Toronto in the last
little while," said Rick Hutcheon, president and chief operating
officer at RKH Investments, noting that August is historically a
reasonably strong month.
"People are beginning to troll for stocks that appear to
have some lasting long-term structural value, good management
... At some stage, things fall to a point at which value starts
to surface and we may be there."
Royal Bank of Canada RY.TO was among the names carrying
the most weight on the positive side with its shares rising 0.99
percent to C$76.50. Toronto-Dominion Bank TD.TO followed,
advancing 0.8 percent to C$53.11.
Banks and insurers as a whole climbed 0.7 percent.
The mining-heavy materials group was another influential
gainer, gaining 2.0 percent, with shares of Goldcorp Inc G.TO
rising 4.4 percent to C$17.19.
Tempering the index's gains was a 0.8 percent retreat in
energy stocks. Canadian Oil Sands COS.TO sank 6.2 percent to
C$7.145.
U.S. crude CLc1 prices were down 1.7 percent at $47.7 a
barrel, while Brent crude LCOc1 lost 1.1 percent to
$52.73. O/R
"If you're a long-term investor ... you have to seriously
look at energy," Hutcheon said. "They're hated ... but what else
could go wrong for them these days? Maybe they're worth a look."
On the earnings front, Canada's No. 2 integrated oil
producer and refiner, Imperial oil IMO.TO , was down 1.2
percent at C$47.94 after it reported profit that missed
forecasts due to low crude prices. ID:nL3N10B552
Shares of pipeline operators Enbridge Inc ENB.TO and
TransCanada Corp TRP.TO rose, however, after both companies
reported stronger-than-expected results.
ID:nL3N10B4QO ID:nL3N10B4RN
Enbridge was up was up 1.6 percent at C$57.20, while
TransCanada rose 0.7 percent to C$50.70.
Gildan Activewear GIL.TO was the most influential loser,
falling 5.8 percent to C$43.00 after the clothing maker reported
quarterly earnings and sales that fell short of expectations.
($1=$1.30 Canadian)