The Toronto Stock Exchange continued its rally on Monday, adding more than 150 points as commodity prices rose and promising economic news emerged from south of the border.

The S&P/TSX composite index gained 171.29 points, or 1.7%, to close at 10,540.71.

The energy group rose 2.4% as oil futures moved higher. Crude for August delivery rose 42 cents to US$63.98 a barrel on the New York Mercantile Exchange.

Shares of Canadian Natural Resources Ltd. added $2.19, or 3.5%, to end at $65.20.

Suncor Energy Inc. jumped 3.7% to $35.19 and EnCana Corp. rose 2.9% to $58.22.

Also higher was Husky Energy Inc., up 3.3% to $32.38 and Petro-Canada, up 3.8% to $44.90.

Gold futures surged to their highest level in more than five weeks on Monday. On the Comex division of the New York Mercantile Exchange, August gold gained US$11.30, or 1.2%, to close at US$948.80 an ounce.

The sub-gold index gained 2.5%, while materials stocks rose 2.3%.

Shares of Barrick Gold Corp. advanced 2.4% to $39.40 and Goldcorp Inc. closed at $42.03, up 2.4%.

Shares of First Quantum Minerals Ltd. surged 11.3% after the company reported that its second-quarter copper production rose 14% from year-ago levels. The company’s stock closed at $69.64, up $7.04.

Also higher was Agnico-Eagle Mines Ltd., up $2.03, or 3.3%, to $63.99.

Financial stocks gained 1.3% during Monday’s trading.

Sun Life Financial Inc. jumped 3.3% to $32.38 and Manulife Financial Corp. shares rose 2.8% to $22.42.

CIBC’s stock advanced by 1.6% to $63.00 and Royal Bank of Canada rose 1.3% to $49.41.

Other stocks to rise on Monday included Canadian Hydro Developers, Inc., which surged nearly 35% after news that TransAlta Corp. had made an unsolicited takeover bid for the renewable energy company. Canadian Hydro shares gained $1.25 to $4.90, while TransAlta’s stock slipped 1% to $20.80.

The junior S&P/TSX Venture composite index gained 22.47 points, or 2.1%, to finish Monday’s session at 1,118.09.

A day ahead of the Bank of Canada’s next interest rate announcement, the Canadian dollar added to last week’s strong gains. It advanced by three quarters of a cent to close at US90.35¢.

In New York, U.S. stock market indexes also finished with solid gains on Monday, on positive earnings reports and on news of an apparent private-sector rescue of U.S. lender CIT Group Inc.

In addition, the U.S. Conference Board reported that the index of leading indicators increased by a higher-than-expected 0.7% in June.

The Dow Jones industrial average rose 104.21 points, or 1.2%, to end at 8,848.15.

The S&P 500 index added 10.75 points, or 1.1%, to 951.13.

The Nasdaq composite index advanced for a ninth consecutive session, adding 22.68 points, or 1.2%, to close at 1,909.29.

IE