(RTTNews) - Financials gave Toronto’s main index a huge boost for a second day in a row on Thursday as traders found much to cheer about in this week’s quarterly results from Canada’s big six banks.

The S&P/TSX Composite Index rose 203.13 points to 13,733.78, with industrials and tech stocks also contributing to the advance.

After Bank of Montreal, Scotiabank, and CIBC turned in a mixed bag of quarterly results that did not include the sort of writedowns feared by many analysts earlier in the week, another trio of big banks stepped up to the plate and delivered some encouraging news.

TD Bank (TD.TO) reported a more than 9% decline in its profit for the third quarter. For the third quarter, the company’s net income declined to C$997 million, or C$1.21 per share, from C$1.10 billion, or C$1.51 per share, a year ago.

Adjusted earnings per share for the latest quarter declined 15.6 percent and came in below analysts’ consensus estimate. However, the company raised its quarterly dividend for the fourth quarter by 3.4 percent, signaling a sunnier outlook on the credit markets. TD shares rose 5.6 percent.

Royal Bank of Canada (RY.TO) reported a 10% decline in profit for the third quarter as a result of write-downs and higher provisions, mainly related to US operations. The company also announced a quarterly dividend.

Royal Bank of Canada’s third-quarter net income was C$1.26 billion or C$0.92 per share, lower than C$1.40 billion or C$1.06 per share in the year-ago period, but 36% higher than C$928 million or C$0.70 per share recorded in the preceding second quarter.

The 2008-third quarter earnings were reduced by write-downs of C$263 million or C$0.20 per share and compensation adjustments, together with higher provisions for credit losses largely in U.S. banking operations.

Still, the writedowns were not as severe as many analysts were predicting, giving the stock a boost. Royal Bank stock jumped 6 percent.

Breaking with its Canadian rivals, National Bank (NA.TO) reported record third quarter earnings while announcing a dividend of C$0.62 per share for the quarter. National Bank stock pushed ahead by 4 percent.

Meanwhile, the Industrial Index rose 3.2 percent, boosted by stellar performances from Transat (TRZ.B.TO) and WestJet (WJA.TO).

Tech stocks also saw strength. Open Text (OTC.TO) added 5.6 percent, while Nortel Networks (NT.TO) rose 2.9 percent.

Energy stocks were the laggards today, dropping into negative territory after a solid start to the day.

Crude prices turned lower on Thursday after the International Energy Agency pledged to release additional oil supplies in the event of storm damage. Light sweet crude for October delivery closed at $115.59, down $2.56 on the session.

Canada’s current account surplus widened more than forecast in the second quarter, bolstered by higher prices for energy and other exported commodities. According to data released Thursday morning by Statistics Canada, the trade surplus expanded to $6.8 billion, with higher prices for several exported commodities pushing the goods surplus to $16.4 billion.

South of the border, a Department of Commerce report released Theda morning showed that US gross domestic product increased at an annual rate of 3.3 percent in the second quarter compared to the advance estimate of 1.9 percent growth. Economists had been expecting GDP growth for the quarter to be revised up to 2.7 percent.

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Posted in Categories: Canada, Releases, Stocks, USA.

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