US President Donald Trump said on Twitter that he had a "long and very good call" with Chinese President Xi Jinping and that a possible trade deal between the United States and China was progressing well. The consumer discretionary sector rose 1.19 percent, lifted by Canada Goose's 6.1 percent rise, the most on the TSX.
Large crowds flocked to the retailer's new outdoor-wear store in downtown Beijing, its first in mainland China, since its opening on Friday, despite sub-zero temperatures and a chill in China's relations with Canada. At 9:42 a.m. ET (14:42 GMT), the Toronto Stock Exchange's S&P/TSX composite index was up 64.91 points, or 0.46 percent, at 14,286.91.
The index has fallen 11.97 percent this year, snapping a two-year winning streak and is set to post its worst yearly decline since the financial crisis of 2008.
On the TSX, 206 issues were higher, while 31 issues declined for a 6.65-to-1 ratio favoring gainers, with 14.10 million shares traded.