Rising oil and gold prices sent Toronto stocks to triple-digit gains on Tuesday, while New York ignored a downbeat report on the U.S. economy to finish sharply higher.

The Toronto Stock Exchange’s S&P/TSX composite index closed up 119.25 points, or 1.40% at 8617.21 on volume of 290.5 million share. The TSX venture exchange gained 27.22 points or 1.75% at 1583.36.

In New York, the Dow industrial average bounced back after dipping into the red early in the day to finish ahead by 88.86 points or 0.89% to 10077.40. The Nasdaq gained 9.99 points or 0.54% to 1869.87, while the S&P 500 index added 6.54 points or 0.59% to 1110.06.

The Canadian dollar was unchanged at US78.62¢.

Crude oil traded higher even after Saudi Arabia, the world’s largest oil exporter, said it will raise its production capacity from 10.5 million barrels a day to 11 million in an attempt to stabilize prices. Saudi Arabia currently produces about 9.5 million barrels a day.

Light crude for November delivery traded up 31¢ a barrel at US$49.95 in New York as instability in the Middle East, political unrest in Nigeria and damage to U.S. production in the Gulf of Mexico from hurricanes kept traders on edge about world supplies. Oil had traded as high as US$50.47.

The price of gold was also up. It gained $1.60 to close at $410.90 in London.

Gold stocks led the way on the TSX, advancing 3.04%. Big gainers in late trading included Bema Gold, up 37¢ or 10.34% to $3.95, Southwestern Resources, up $1.84 or 14.89% to $14.20, and Placer Dome, which jumped $1.02 or 4.26% to $24.97.

Energy stocks jumped 2.76%, with all but a handful of stocks trading lower. Shares of Paramount Resources gained $2.31 or 11.48% to $21.82 after the company said is considering creating an energy trust for the second time in two years.

Financial shares were ahead 0.13%. AGF Management Ltd. jumped 18¢ or 1.07% to $17.03 after the company reported an increase in profit for the third quarter ended Aug. 31. The fund management firm said net income rose to $27.6 million, or 30¢ a share, from $21.8 million, or 23¢, in the year-before period.

In New York, markets advanced despite news that consumer confidence declined for a second-straight month, according to the U.S. Conference Board. The index fell 1.9 points to 96.8 from a revised reading of 98.7 in August. Analysts had expected a reading of 99.5. Economists blamed the decline on soft labour market conditions.

On Wall Street, Starbucks Corp. added 20¢ or 0.45% to US$44.58 after saying it would raise the average price of its beverages by 11¢ cents at its 4,500 stores across North America because of increases in the cost of coffee and sugar.

Google Inc. was up 7.3% to $122.82 as a handful of analysts initiated coverage of the Internet search company with bullish comments following its initial public offering.

Advancers outnumbered decliners by a 11-to-5 margin on the New York Stock Exchange, and 19-to-12 on the Nasdaq. Big Board volume was about 1.39 billion shares, while more than 1.53 billion shares traded on the Nasdaq.