(Adds strategist comment, updates prices to close)
* TSX ends down 5.95 points, or 0.04 percent, at 13,859.12
* Eight of the TSX's 10 main groups down; energy jumps
By Alastair Sharp
TORONTO, Aug 31 (Reuters) - A sharp jump in energy stocks as
crude oil prices soared was not enough to push Canada's main
stock index into positive territory on Monday.
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE ended down 5.95 points, or 0.04 percent, at 13,859.12.
Slightly more issuers gained than declined, with oil and gas
stocks claiming 18 of the top 20 spots among most influential
gainers, while eight of the 10 main sectors retreated.
Oil prices surged for a third consecutive day on a downward
revision of U.S. crude production data and OPEC's readiness to
talk with other producers, pushing the sector up 3 percent.
O/R
"The fact that OPEC is going to get together and come up
with a fair value for oil gave some boost to the market," said
Sid Mokhtari, director for institutional equity research at CIBC
World Markets.
Canadian Natural Resources Ltd CNQ.TO gained 2.9 percent
to C$29.65, Crescent Point CPG.TO surged 10.1 percent to
C$16.88, and Suncor Energy Inc SU.TO added 1.2 percent to
C$37.26.
Mokhtari said Canada's energy sector could gain another 7 to
9 percent in the next month as short sellers are forced to
square their books, helping bring the index back up to around
14,200.
"If we can see stability in the energy complex, we're
naturally going to get stability in the banks as well," he said.
Some of the country's biggest banks were among its heaviest
weights on Monday - Toronto-Dominion Bank TD.TO slipped 0.8
percent to C$52.48 and Royal Bank of Canada RY.TO lost 0.5
percent to C$73.34.
The index, which had been steadily declining since April,
sank to its lowest level since 2013 last week on investor
worries over China's economic growth.
"It's interesting that the banks have been under pressure,
because they are really still pretty darn solid ... the banks
are becoming pretty good value," said Douglas Davis, chief
executive officer at Davis-Rea.
The materials group, home to mining firms, fell 0.9 percent,
with Barrick Gold Corp ABX.TO down 3.1 percent to C$9.15.