North American markets closed higher Tuesday after the U.S. Federal Reserve left interest rates alone. Toronto stocks climbed as investors snapped up tech shares in a rally driven by bargain hunting. The S&P/TSX index closed up 93.11 points at 6,597.2.

The information technology sector soared almost 8% as Nortel Networks jumped 46¢ to $2.84.

Other tech gainers included Celestica, up $1.20 to $24.20, and Zarlink Semiconductor, ahead 34¢ to $4.54.

Merger activity led the heavily weighted financial services sectory to a 1.2% rise. Canada Life gained 57¢ to $41.07, which is 90¢ above the price offered Monday in Manulife Financial’s takeover bid. Manulife rose $1.07 to $36.47.

New York-based stockbroker Fahnestock Viner Holdings agreed to pay $401 million for the U.S. Oppenheimer private-client and asset-management divisions of CIBC World Markets Corp. Under the deal, CIBC can acquire up to 35% of Fahnestock. CIBC shares rose 89 cents to $43.89.

TD Bank gained 35¢ to $33.20 and Royal Bank was 85¢ higher at $59.60.

Gold was the big loser as the spot bullion price receded $2.10 to US$323.40 an ounce. Barrick Gold lost 56? to $23.15 after a brokerage downgrade.

On the Toronto market, advancers beat decliners 588 to 546, with 226 unchanged. Volume was 215 million shares worth $2.6 billion.

The junior TSX Venture Exchange declined 7.8 points to 966.24.

On Wall Street, the Dow Jones industrial average was up 100.85 points at 8,574.26. The Nasdaq composite index climbed 23.34 points at 1,390.48, while the S&P 500 index was 12.41 points higher at 904.41.

The Fed left the federal funds rate at a 41-year low of 1.25 per cent.

The Canadian dollar ended the day up 0.08¢ at US64.08¢.