Toronto market closes above 24,000 on China stimulus hopes

By Nikhil Sharma and Fergal Smith

(Reuters) - Canada's commodity-linked main stock index closed above the 24,000 threshold for the first time on Thursday as China's assurance of more stimulus offset pressure on energy shares after oil prices tumbled.

The Toronto Stock Exchange's S&P/TSX composite index ended up 127.95 points, or 0.5%, at 24,033.83, eclipsing the record closing high it posted on Tuesday.

China plans to issue special sovereign bonds worth about 2 trillion yuan ($284.43 billion) this year as part of a fresh fiscal stimulus, said two sources with knowledge of the matter.

"China is obviously a big industrial consumer of things like copper and metals," said Brian Madden, chief investment officer at First Avenue Investment Counsel.

The stimulus is positive "for global economic growth, Chinese economic growth and by extension demand for Canadian resources," Madden added.

The materials sector, which includes fertilizer companies and metal mining shares, was up 1.5% as gold extended its record-setting run and copper jumped more than 3%.

Technology rose 2%, tracking gains for Wall Street's tech-heavy Nasdaq following Micron Technology's upbeat first-quarter forecast.

Consumer discretionary was also a standout, adding 1.8%, as shares of auto parts supplier Magna International clawed back much of the previous day's sharp decline.

TD Bank named Andy Bregenzer and Jill Gateman as co-heads of its U.S. commercial banking business, replacing Chris Giamo, who retired earlier this year. Shares of the bank rose 0.6%, while the heavily weighted financials sector was up 0.9%.

Energy was a drag, falling 3.1%, as the price of oil settled 2.9% lower at $67.67 a barrel on a report that top exporter Saudi Arabia will give up its $100 price target in preparation for raising output.

(Reporting by Fergal Smith in Toronto and Nikhil Sharma in Bengaluru; Editing by Leroy Leo, Vijay Kishore and Deepa Babington)