By Jeff Sanford

(February 26 – 18:30 ET) – Toronto stocks closed higher today on expectations of a U.S. interest rate cut. The TSE 300 composite index gained 111.99 points to close at 8,140.80.

Every sub-index but one was higher today. Golds gained 3.83%, while metals and minerals gained 2.83%. Slightly weaker oil prices knocked that sector down 0.35% today.

Among individual issues, 644 advanced while 439 declined, and 239 finished the day unchanged. Today’s advance was halfhearted, as investors still are still wary about the possibility of a sustained rally: Volume was fairly low today at 126 million shares.

Nortel bucked the up trend today and was off another 3.19% at $28.85. Most of the other techs were up on the day. Celestica finished ahead 3.47% at $82, ATI Tech was up 12.13% at $8.60, Research in Motion was up 10.92% at 69.60.

Bombardier reversed a bit of a selloff over the course of last week, rising 9.30% to close at $22.33.

The financials were all up on expectations of a U.S. rate cut. Royal Bank gained 2.95% to $47.10, TD added 3.14% at $41.00, National Bank rose 3.13% at $29.65, BMO gained 2.82% at $81,95, CIBC move up 2.93% at $48.48 and Bank of Nova Scotia climbed 4.22% at $43.46.

Alcan Aluminum named a new CEO today. Travis Engen, currently the chairman and CEO of ITT Industries tagged to lead Alcan. The news helped Alcan to a 3,41% advance on the day. It closed at $57.39.

Stelco advanced 4.52% today to close at $10.40.

The CDNX today closed at 3,086.91, an increase of 9.37 points. Market breadth was effectively neutral with 251 deliners and 250 advancers. Volume was light at 37 million shares.

Anticipation of a rate cut helped move American markets as well. The Dow Jones industrial jumped 200.63 points to 10,642.53. The Nasdaq composite index also rallied, climbing 45.99 points to 2,308.50. and the S&P 500 added 21.78 points to close at 1,267.50.