CANADA STOCKS-TSX rises as higher metal prices boost miners

(Adds details on specific stocks, updates prices)

* TSX up 21.14 points, or 0.14 percent, at 15,195.95

* Four of the TSX’s 10 main groups move higher

TORONTO, July 17 (Reuters) – Canada’s main stock index rose
on Monday as mining shares tracked metal prices higher, while
shares of energy companies gained as oil prices edged up.

The most influential movers on the index included First
Quantum Minerals Ltd, which rose 4.9 percent to C$13.19,
and Lundin Mining Corp, which advanced 3.2 percent to
C$8.15.

Both miners produce copper, nickel and zinc. Copper prices
hit their highest since early March on the back of
better-than-expected economic data from top consumer China and a
weaker U.S. dollar, while nickel and zinc also gained.

The materials group, which includes precious and base metals
miners and fertilizer companies, added 1.5 percent.

Gold miners also rose as the price of the precious metal
climbed.

Dominion Diamond Corp rose 5 percent to C$17.76
($14.05), after the world’s third-largest diamond producer by
market value agreed to a sweetened takeover offer of $14.25 per
share in cash from The Washington Companies, valuing it at $1.2
billion.

The energy group added 0.6 percent, with Canadian Natural
Resources Ltd up 0.8 percent to C$37.36 and Cenovus
Energy Inc rising 1.4 percent to C$9.39.

Oil prices edged up on Monday after data showed fewer
drilling rigs were added in the United States last week, helping
ease concerns that surging shale supply will undermine OPEC-led
production cuts.

At 9:59 a.m. ET (1359 GMT), the Toronto Stock Exchange’s
S&P/TSX composite index was up 21.14 points, or 0.14
percent, to 15,195.95.

Advancers were outnumbering decliners by 1.4-to-1, although
only four of the index’s 10 main groups were in positive
territory.

Industrials fell 0.5 percent as Canadian Pacific Railway Ltd
slipped 0.8 percent to C$209.20 and SNC-Lavalin
fell 1.5 percent to C$57.20.

Valeant Pharmaceuticals International Inc rose 1.7
percent to C$22.19 after saying it would sell its Obagi Medical
Products business for $190 million in cash.

The resale of Canadian homes fell 6.7 percent in June from
May, the largest monthly drop since 2010 and the third-straight
monthly decline as sales in Toronto plunged, the Canadian Real
Estate Association said.
($1 = 1.2637 Canadian dollars)
(Reporting by Alastair Sharp; Editing by Meredith Mazzilli)


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