Torontos main stock index closed 2.4 percent higher on Thursday, recording its fifth straight weekly gain, as financial issues got a lift from upbeat news from the US banking sector and higher oil prices boosted energy shares. US bank Wells Fargo & Co said it expected to post record first-quarter profit, which fuelled investor hopes that the battered US banking sector may be headed for stability.
The news buoyed shares of Canadas biggest banks and insurers, helping the TSX financial sector jump 5.7 percent. Manulife Financial, the indexs main lift, rose 12.23 percent to C$18.50.
Toronto-Dominion Bank gained 5.1 percent to C$46.75, while Royal Bank of Canada climbed 4.3 percent to C$39.58. The S&P/TSX composite index finished up 2.43 percent, or 217.84 points, at 9,187.12. The rally added to the Toronto Stock Exchanges 1.6 percent gain on Wednesday. The TSX rose 1.34 percent on the week. Eight of the TSXs 10 sectors were higher.
The hefty energy group advanced 3.3 percent as oil prices climbed above $52 a barrel as higher stock markets revived thoughts of an economic recovery and increased demand for commodities. Suncor Energy jumped 4.9 percent to C$32, while Petro-Canada was up 5.7 percent to C$39.63. Materials, off 2.9 percent, were held back by gold issues that fell alongside the price of bullion. Telecoms, the other sector in decline on Thursday, fell 4.6 percent.
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