CANADA STOCKS-TSX hits 2-1/2-year high on China data

    * TSX rises 86.16 points, or 0.62 percent, to 13,974.37 
    * All of the 10 main index sectors advance 
    * Index up about 2.6 percent this year 
    * Materials stocks benefit from higher commodity prices 
 
    By John Tilak 
    TORONTO, Jan 20 (Reuters) - Canada's main stock index rose 
sharply on Monday as positive economic data from China helped 
support advances in all of its major sectors, taking the 
benchmark to its highest in 2-1/2 years. 
    A slight increase in prices of commodities such as gold and 
silver also provided support and was a source of strength in the 
materials sector.  
    Investors were encouraged by data that showed China's 
economy grew 7.7 percent in 2013. The gain was flat from 2012 
and above market expectations for a 7.6 percent expansion. 
   
    The Toronto Stock Exchange's benchmark S&P/TSX index, which 
has risen in nine of the last 10 sessions, is up about 2.6 
percent this year. 
    After lagging the S&P 500    in 2013, the TSX has so far 
this year outperformed U.S. stock markets, which were closed on 
Monday for the Martin Luther King Jr. holiday.  
    "From now on, you'll see the TSX performing with, or a 
little bit better than, the U.S. market," said David Cockfield, 
managing director and portfolio manager at Northland Wealth 
Management. 
    "We're getting back to a calmer, less jittery market," he 
added. "People are going to be more interested in long-term 
performance and what the fundamentals for stocks look like." 
    The S&P/TSX composite index    was up 86.16 points, 
or 0.62 percent, at 13,974.37, its highest level since mid 2011. 
    About 68 million shares had changed hands at midmorning, 
compared with an average daily volume of about 316 million 
shares in December, according to Thomson Reuters data and 
figures from market operator TMX Group. 
    All of the 10 main sectors on the index were higher. 
    Financials, the index's most heavily weighted sector, gained 
0.4 percent. Royal Bank of Canada   , the country's biggest 
lender, added 0.9 percent to C$72.48. Bank of Nova Scotia 
   rose 0.8 percent to C$64.38. 
    The materials sector, which includes mining stocks, advanced 
1.1 percent. Barrick Gold Corp    jumped 2.3 percent to 
C$21.09, and diversified miner Teck Resources Ltd    
climbed 1.2 percent to C$29.01. 
    In corporate news, Australian uranium producer Paladin 
Energy Ltd       agreed to sell a stake in its 
Namibia mine. The company's shares shot up 9.1 percent in 
Toronto, to 60 Canadian cents.    
    ($1=$1.095 Canadian) 
 
 (Editing by Peter Galloway) 
 ((john.tilak@thomsonreuters.com)(1-416-687-7918)(Reuters 
Messaging: john.tilak.reuters.com@reuters.net)) 
  
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