(Adds portfolio manager comments, details on Brookfield Asset
Management, updates prices)
* TSX closed up 144.91 points, or 1.05 percent, at 13,893.49
* All of the index's 10 main groups ended higher
By Fergal Smith
TORONTO, May 16 (Reuters) - Canada's main stock index
rallied more than one percent to a two-week high on Monday, with
energy stocks leading broad-based gains as oil surged.
Oil prices reached six-month highs on worries about global
supply outages and as long-time bear Goldman Sachs (NYSE:GS) sounded more
positive on the market. O/R
"Over this year Canada looks like an attractive investment
opportunity, I think oil is going to finish higher than where it
is right now," said Kevin Headland, senior investment strategist
at Manulife Investments.
U.S. crude CLc1 prices were up 3.6 percent to $47.89 a
barrel, while Brent crude LCOc1 added 2.6 percent to $49.08.
The most influential movers on the index included Suncor
Energy Inc SU.TO , up 2.7 percent at C$34.98, and Canadian
Natural Resources CNQ.TO , which added 2.1 percent at C$37.73.
Barrick Gold Corp ABX.TO advanced 2.3 percent to C$24.41,
and Goldcorp Inc G.TO rose 2.6 percent to C$23.85.
The energy group climbed 2.9 percent, while the materials
group, which includes precious and base metals miners and
fertilizer companies, added 1.9 percent.
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE closed up 144.91 points, or 1.05 percent, at
13,893.49.
It touched its highest level since May 2 of 13,930.61, with
all of the index's 10 main groups ending higher.
The index has rallied more than 20 percent since hitting an
almost 3-1/2-year low in January, but has been unable to climb
above the 14,000 threshold.
"It's going to be a key resistance level," said Headland,
who cautioned earnings have been "lackluster."
The heavyweight financials group gained 0.3 percent, led by
a 3.7 percent gain for Brookfield Asset Management Inc BAMa.TO
to C$44.50, while consumer staples rose 1.1 percent.
Valeant Pharmaceuticals International Inc (NYSE:VRX) VRX.TO rose 3.8
percent to C$34.85. The company said it would cut prices for
hospitals on two heart drugs after shareholder William Ackman
pledged to revisit controversial price hikes on the treatments.
Shares in Penn West Petroleum Ltd PWT.TO sank 21.9 percent
to 82 Canadian cents a share after it said it may default on its
financial covenants at the end of the second quarter and raised
doubts about its ability to continue as a going concern.