TSX hits 2009 high

Strong commodity pricesbuoyed the TSX on Tuesday, with the benchmark Canadian stock index sittingat a 2009 high of 11,703.8 at mid-afternoon, up256 points on the day.

The gains were broad-based, as all eight of the exchange's subindexes were in solidly positive territory. The raw materials and commodities sectors led the way, but financial firms also trended higher.

On the back ofthe strength in commodities,theCanadian dollar was up more than a cent against theU.S. dollar on Tuesday,nearing 96cents US.

The loonie was trading at 95.86 cents US at 2 p.m. ET, up1.12 cents.

The loonie's spike appeared to be caused bygeneral weakness in thegreenback against other world currencies, especially ones from economies with a strong commodities base such as Canada's.

The Canadian dollar was bolstered by a comment from a senior Russian central bank official that the country will buyloonies in the next few months to diversify its currency reserves. Russia had previously mentioned plans to buy Canadian and Australian dollars in the near term, but had not specified when.

Gold was uproughly $19 an ounce, flirting with the $1,200 US level. Gold is traditionally seen asa hedge against the Americandollar.