Toronto stocks ended higher Wednesday, despite a modest retreat in the energy sector, on the strength of financials and the telecommunications services sector.

The S&P/TSX composite index gained 23.42, or 0.20%, to 11,621.03.

Volume on the senior exchange was 343 million shares.

Half of the 10 TSX main sub-groups were up on the session, led by the telecom sector, up 1.34%.

BCE Inc. added 74¢, or 2.66%, to $28.52.

BCE’s Bell Canada unit announced plans to convert nearly 8,400 phone lines at Royal Bank of Canada to Internet phone technology in a multiyear contract.

The TSX financials group rose 0.43%. Bank of Montreal gained $1.63, or 2.46%, to $67.83.

The energy sector dipped 0.13%, while the benchmark February contract for crude settled up 57¢ at US$63.94 a barrel.

UTS Energy Corp. lifted 37¢, or 7.99%, to $5.00.

The futures contract for gold on the Nymex was up $4.40 to US$550.10 US. Kinross Gold Corp. gained 13¢, or 1.12%, to $11.78.

The S&P/TSX Venture composite index finished up 13.44 point, or 0.58%, to 2,326.08.

On Wall Street, U.S. stocks rose on as brokerages raised their price targets on Apple Computer Inc., helping the Nasdaq to its seventh straight gain.

The Dow industrials ended up 31.86 points at 11,043.44, the Nasdaq Composite Index rose 11.04 points to 2,331.36, while the S&P 500 Index gained 4.49 points to 1,294.18.

Apple shares hit a record high of UUS$84.80 after Banc of America Securities raised its price target for the stock on estimates for higher sales of the iPod music player.