Jan. 16 (Bloomberg) -- Canadian stocks rose for the seventh time in eight days, extending a two-year high, as a gain in energy and raw-materials shares offset losses at Bombardier Inc. and railroad companies.
Torex Gold Resources Inc. and Eldorado Gold Corp. climbed more than 3.4 percent as the metal’s price advanced. Bombardier dropped 7.7 percent after postponing its CSeries jetliner’s entry into commercial service until 2015, the latest in a series of delays for the aircraft. Canadian National Railway Co. slipped 1.8 percent after CSX Corp., the largest eastern U.S. railroad, missed profit forecasts for the first time in two years.
The Standard & Poor’s/TSX Composite Index rose 59 points, or 0.4 percent, to 13,831.58 at 4 p.m. in Toronto, erasing earlier declines of as much as 0.2 percent. The benchmark equity gauge has rallied 1.7 percent in the past eight sessions. Trading was 34 percent above the 30-day average.
“Some stocks are doing well in the mining space and that’s encouraging,” said John Kinsey, fund manager with Caldwell Securities Ltd. in Toronto. The firm manages about C$1 billion ($916.6 million).
Raw-materials stocks added 1 percent, giving the S&P/TSX Materials Index its ninth advance in 11 trading days this year. The gauge has rallied 8.2 percent in 2014 after plunging 31 percent last year.
Thompson Creek Metals Co. added 3.5 percent to C$3.27 for a third day of gains. The stock has rallied 38 percent since Jan. 14, after Bank of America Inc. upgraded its rating on the stock.
Torex Gold advanced 8.3 percent to C$1.18 and Eldorado Gold rallied 3.4 percent to C$6.96 as gold futures for February delivery added 0.2 percent to $1,240.20 an ounce.
Allied Nevada Gold Corp. rose 4 percent to C$5.25. The stock has increased for six days, the longest streak since August 2011. Allied Nevada surged as much as 28 percent on Jan. 14 after China Gold Stone Mining Development Ltd. retracted a $779.6 million offer for the company it said was published in error.
Birchcliff Energy Ltd. jumped 11 percent to C$8.43, the biggest gain since October 2011, after the company boosted its 2014 exit production forecast to 37,500 to 39,500 barrels of oil equivalent per day from 36,000 to 38,000 previously.
Raging River Exploration Inc. climbed 6.3 percent to C$7.10 and Baytex Energy Corp. rose 3.5 percent to C$41.45 to pace gains among energy stocks. The S&P/TSX Energy Index rallied 0.8 percent as all but 10 of its 63 members advanced.
Industrial stocks slumped 1.1 percent as a group, the only decline in the S&P/TSX. Bombardier tumbled 7.7 percent to C$4.17, an eight-month low. The Montreal-based company delayed its CSeries jetliner for a fourth time, saying the aircraft needs more time for flight tests.
Canadian National Railway declined 1.8 percent to C$58.64 and Canadian Pacific Railway Ltd. lost 0.4 percent to C$163.52. CSX, the U.S. railroad, reported net income of 42 cents a share, short of the 43-cent average of 25 analyst estimates compiled by Bloomberg as coal shipments slumped.
Canadian Pacific is scheduled to report fourth-quarter results on Jan. 29, followed by Canadian National on Jan. 30. U.S. competitors Union Pacific Corp., Norfolk Southern Corp. and Kansas City Southern report next week.
Alamos Gold Inc. plunged 17 percent to C$11.31, the biggest decrease since November 2008, after reporting 2014 gold production will be in the range of 150,000 to 170,000 ounces, short of the 190,000 ounces produced in 2013.
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