Energy, financials lead benchmark to higher close

The benchmark S&P/TSX Composite Index rose 76.38 points, or 0.6%, to 13,585.93.

On the Toronto Stock Exchange, advancers led decliners 819 to 754.

Seven of the TSX's 10 component sector gauges finished in positive territory, with the financial sector and the energy gauge both adding about 1%.

Royal Bank of Canada ended 0.2% higher, reversing earlier sharp losses. The country's largest bank announced an all-stock takeover offer for independent fund manager Phillips, Hager & North Investment Management Ltd.

Bank of Montreal (CA:BMO: news, chart, profile) rose 1.2% and Canadian Imperial Bank of Commerce (CA:CM: news, chart, profile) rose 2.8%.

The late recovery in financial issues came after CNBC reported that a plan by several big banks to bail out struggling U.S. bond insurer Ambac Financial could be unveiled on Monday or Tuesday.

Crude-oil futures ended Friday's volatile session modestly higher, with the front-month benchmark contract ending near $99 a barrel. See Futures Movers.

EnCana Corp. (CA:ECA: news, chart, profile) , the nation's second-largest energy producer by revenue, rose 1.1%.

Oil and gas industry helicopter operator CHC Helicopter Corp. (CA:FLY.A: news, chart, profile) surged 38.3% on news that it will be acquired by U.S. private-equity firm First Reserve Corp. in a deal reportedly valued at C$1.5 billion ($1.48 billion).

Uranium One Inc. (CA:UUU: news, chart, profile) was the most actively traded issue by volume for a second straight day, shedding 13.1% after a 17.4% drop Thursday, when it cut its 2008 production forecast.