(Adds analyst quote, updates prices)
* TSX closes up 194.05 points, or 1.4 percent, at 14,036.74
* Index touches its highest since June 23 at 14,057.97
* Nine of the TSX's 10 main groups end higher
By Fergal Smith
TORONTO, June 29 (Reuters) - Canada's main stock index
scored its largest gain in seven weeks on Wednesday as higher
oil prices boosted shares of energy companies and investors
bought back into banks after the initial shock of Britain's vote
to exit the European Union.
The broad gains echoed moves higher in global stocks as
investors bet on central banks going easier on monetary policy
in coming months.
The prospect of additional stimulus is supportive of
commodity prices, a major driver of Canada's resource-linked
market.
Investors may also be anticipating better earnings growth,
said Kevin Headland, senior investment strategist at Manulife
Asset Management.
"We believe that the actual landscape in terms of earnings
prospects is better in Canada from a year-over-year perspective
as we get further and further away from the bottom of the oil
market," Headland added.
U.S. crude oil prices CLc1 settled $2.03 higher at $49.88
a barrel after a larger-than-expected drawdown in U.S. crude
inventories O/R , while the energy group surged nearly 3
percent.
Suncor Energy Inc SU.TO gained 1.9 percent to C$35.59 and
Canadian Natural Resources CNQ.TO added 3.6 percent to
C$39.67.
Financial stocks rallied 0.9 percent, including gains for
some of the country's biggest banks. Royal Bank of Canada
RY.TO rose 0.7 percent to C$76.90 and Bank of Nova Scotia
BNS.TO advanced 1.2 percent to C$64.51.
But Canadian Imperial Bank of Commerce CM.TO fell 2.6
percent to C$97.92 after it said it would buy Chicago-based
PrivateBancorp Inc PVTB.O in a cash-and-stock deal valued at
about $3.8 billion.
The Toronto Stock Exchange's S&P/TSX composite index
.GSPTSE closed up 194.05 points, or 1.4 percent, at 14,036.74.
It touched its highest since June 23 at 14,057.97.
Nine of the index's 10 main groups ended higher.
Canadian National Railway Co CNR.TO advanced 1.4 percent
to C$76.02, and industrials rose 1.7 percent overall.
The materials group, which includes precious and base metals
miners and fertilizer companies, added 1.6 percent. Spot gold
XAU= rose 0.5 percent, renewing its post-Brexit gains after a
pause on Tuesday. GOL/
The lone sector that fell was consumer staples. Empire Co
Ltd EMPa.TO , owner of the Sobeys supermarket chain, fell 11.3
percent to C$19.25 after its earnings disappointed.