Dec 7 (Reuters) - Canada's main stock index hit a one-week
high on Tuesday, underpinned by gains in energy shares, as
concerns around the Omicron coronavirus variant eased.
At 9:40 a.m. ET (14:40 GMT), the Toronto Stock Exchange's
S&P/TSX composite index was up 266.07 points, or
1.28%, at 21,127.17, extending previous session's gains.
The energy sector climbed 2.9% with oil prices
rising for a second day as concerns over the impact of the
Omicron coronavirus variant on global fuel demand eased.
"People referred to this period as a Santa Claus Rally and I
see some of that taking place now as we hit the end of the year
and investors who were heavy in cash, or who missed the market
might feel compelled to invest money," said Irwin Michael, a
portfolio manager at ABC Funds.
Adding to gains were Toronto-listed technology stocks
, up 2.7%, tracking gains in U.S. tech-heavy Nasdaq
Following a volatile start to December marked by concerns
about the Omicron coronavirus variant and a hawkish outlook from
the United States Federal Reserve, the benchmark index has
gained ground this week as investors believe the recent sell-off
Among individual shares, Enbridge Inc gained 1.9%
after the pipeline operator forecast higher core earnings in
2022 and announced a share repurchase of up to C$1.5 billion
($1.18 billion), betting on rising demand for oil and gas.
On the economic front, Canada posted a trade surplus of
C$2.09 billion ($1.65 billion) in October, the largest in almost
10 years, Statistics Canada said.
Dye & Durham Ltd was the biggest percentage gainer
on the index after multiple brokerages raised the price target
on the IT service provider's stock.
The TSX posted two new 52-week highs and no new low.
Across Canadian issues, there were seven new 52-week highs
and seven new lows, with total volume of 48.42 million shares.
(Reporting by Amal S in Bengaluru;
Editing by Vinay Dwivedi)