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Canada Stocks: TSX hits record high as financials and metal mining shares climb

CANADA STOCKS-TSX hits record high as financials and metal mining shares climb

TSX ends up 1.2% at 35,217.06

Eclipses Tuesday's record closing high

Materials group gains 1.5%, financials add 1.7%

TransAlta falls 10.4% after gas-fired plants deal

Updates at market close

By Tharuniyaa Lakshmi and Fergal Smith

- Canada's main stock index rose to a record high on Thursday, led by financial and metal mining shares, as U.S. efforts to reach a peace deal in the Middle East bolstered investor sentiment.

The Toronto Stock Exchange's S&P/TSX Composite index .GSPTSE ended up 415.52 points, or 1.2%, at 35,217.06, surpassing the record closing high it posted on Tuesday.

  • The pro-Iran Hezbollah movement rejected a new ceasefire in Lebanon and Israel said it would not withdraw troops from the country, undermining U.S. President Donald Trump's efforts to halt fighting there to forge peace with Tehran.

  • The ceasefire deal "is certainly encouraging but U.S. and Iran remain the bigger conflict, and that is still up in the air as to how that's going to end up," said Colin Cieszynski, chief market strategist at SIA Wealth Management.

  • The materials group .GSPTTMT, which includes metal-mining shares, rose 1.5% as the price of gold XAU= increased.

  • Heavily weighted financials .SPTTFS were up 1.7% and industrials .GSPTTIN ended 1.2% higher.

  • The price of oil CLc1 settled 3.1% lower at $93.04 a barrel. Still, energy .SPTTEN gained 0.4%.

  • TransAlta Corp TA.TO shares fell 10.4% after the power producer said on Wednesday it will acquire two natural gas-fired peaking facilities near Denver, Colorado, from Blackstone BX.N for about $1 billion.

  • Of 10 major sectors, only consumer discretionary .GSPTTCD ended lower, dipping 0.2%.

  • Canadian employment data, due on Friday, is expected to show the economy adding 10,000 jobs last month and the unemployment rate holding steady at 6.9%, its highest level since October.


(Reporting by Fergal Smith in Toronto and Tharuniyaa Lakshmi in Bengaluru; Editing by Shailesh Kuber and Deepa Babington)

((fergal.smith@thomsonreuters.com; +1 647 480 7446))

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