TSX Snaps Back, Led By Energy Stocks -- Canadian Commentary

(RTTNews) - Canadian stocks rallied on Wednesday, led by gains in the energy and financial sectors.

Bay Street withstood some lackluster U.S. economic news, with ADP data showing private employers added 175,000 jobs in January, slightly below the gain of 180,000 estimated by analysts.

The S&P/TSX Composite Index rose 56.86 to 13,559.34, paring some of its steep recent losses.

Energy stocks were up one percent, strengthened by a much smaller than forecast rise in U.S. crude inventories.

U.S. crude oil was up about 20 cents to $97.38 a barrel.

Encana (ECA.TO) shares were up 2 percent, while Canadian Natural Resources (CNQ.TO) added 1.6 percent.

Financial shares rose 1 percent.

an Ontario appeals court has reversed a lower court decision and will allow three major securities class actions seeking almost $4-billion in damages against the Canadian Imperial Bank of Commerce (CM.TO) to go to trial.

CIBC shares were up 1.4 percent.

In other corporate news, Canadian National Railway (CNR.TO) received a 72-hour strike notice from the union representing about 3,000 conductors and rail-yard workers. CNR shares were up fractionally.

SNC-Lavalin (SNC.TO) is now free to bid on public contracts across Quebec, the Canadian Press reports. The company passed investigations into corruption allegations. SNC shares rose 1.8 percent.

TMX Group (X.TO), the owner of the TSX stock exchange, reported a 27 percent increase in fourth-quarter profit, well above analysts' estimates. X Shares fell 0.8 percent.

Goldcorp Inc. (GG, G.TO) denied allegations by Osisko Mining Corp. (OSK.TO) of improper activities related to Goldcorp's Offer to acquire all of the outstanding shares of Osisko.

Goldcorp extended its $2.5 billion takeover offer. Shares of Goldcorp slipped 0.9 percent.

Wal-Mart's Canadian unit will invest nearly C$500 million in its operations over the next year, according to the Wall Street Journal.

Insurance company Intact Financial Corp. (IFC.TO) said its fourth-quarter profit fell 40 percent due to weather related claims. Shares were down 1.2 percent.

Looking ahead, the European Central Bank will make its latest policy announcement on Thursday. On Friday, global investors will be keyed into the government's monthly U.S. jobs report.