Banks Lead TSX Higher For Second Session -- Canadian Commentary

(RTTNews) - Canadian stocks rallied for a second session, led by stronger banks and rebounding energy stocks.

The S&P/TSX Composite Index rose 173.74 points, or 1.4 percent, to 12,554.98, moving further from January's 3-year lows. Plunging gold shares prevented a larger advance.

Markets were cheered by news that Saudi Arabia, Russia, Qatar and Venezuela will keep output unchanged if Iran and Iraq agree to do the same.

"We don't want significant gyrations in prices," Saudi Oil Minister Ali Al-Naimi told Bloomberg. "We don't want a reduction in supply. We want to meet demand. We want a stable oil price."

On the New York Mercantile Exchange, West Texas Intermediate crude for March delivery fell 40 cents, or 1.4%, to settle at $29.04 a barrel.

The gauge of Canadian energy stocks was up fractionally.

Penn West Petroleum Ltd. (PWT.TO, PWE) announced agreements to settle all class action proceedings in Canada and the U.S regarding past financial statements. Shares were up 1.8 percent.

The Financial Index jumped 2 percent.

Element Financial (EFN.TO) was up 6 percent after saying it will split into two publicly traded companies.

Gold stocks tumbled 6 percent. Gold for April was down 34 dollars at $1205 an ounce.