Oct 18 (Reuters) – Canada’s main stock index rose modestly on Wednesday as energy shares were boosted by higher oil prices and as Canadian Pacific Railway jumped after better-than-expected quarterly earnings.
CP Rail was the biggest lift on the index, up 5.2 percent at C$220.64, after the company also raised its full-year profit forecast.
The results gave a boost to its railroad operator peer Canadian National Railway, which gained 1.1 percent to C$101.50. The two companies helped lift the industrials sector 1.2 percent.
The energy sector added 0.2 percent as oil prices were lifted by expectations weekly U.S. crude inventories have fallen steeply.
U.S. crude prices were up 0.7 percent to $52.25 a barrel, while Brent crude added 0.7 percent to $58.31.
Encana Corp, which holds its investor day on Wednesday, rose 4.5 percent to C$14.94.
In early morning trading, the Toronto Stock Exchange’s S&P/TSX composite index was up 18.12 points, or 0.11 percent, at 15,835.02. Of the index’s 10 main groups, six were higher.
A decline in resource shares tempered gains on the Toronto market as stocks of gold producers declined with gold prices pressured by a firmer U.S. dollar amid speculation over who will be the next chair of the U.S. Federal Reserve.
Barrick Gold fell 0.8 percent click here to C$20.17, while Teck Resources was off 0.6 percent to C$28. The materials sector declined 0.5 percent, while the gold subsector was down 0.8 percent.
Shares of Bombardier fell 4.4 percent to C$2.61, after gaining more than 15 percent in the previous session after Airbus agreed to take a majority stake in the company’s CSeries jetliner. (Reporting by Leah Schnurr in Ottawa; Editing by Nick Zieminski)