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TSX up 0.7%

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Energy shares lead gains

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TSX set for weekly loss

(Updated at 10:00 a.m. ET/ 1400 GMT)

By Purvi Agarwal

April 19 (Reuters) - Canada's main stock index edged

higher on Friday, aiming to recoup some weekly losses, as

investors shed caution around Middle East tensions after Iran

downplayed the reported Israeli attack.

At 10:00 a.m. ET (14:00 GMT), the Toronto Stock Exchange's

S&P/TSX composite index was up 149.81 points, or

0.69%, at 21,858.25.

Communication services stocks rose 0.8%, while

energy shares led gains with a 1.0% rise, tracking

higher oil prices.

Information technology shares advanced 0.4%,

followed by heavy-weight financials that gained 0.7%.

The TSX saw broader gains, with all sectors trading higher

after Tehran played down a reported Israeli attack and indicated

it had no plans for retaliation - a response that appeared

gauged towards averting region-wide war.

"Last night it looked like there was going to be a big

sell-off today, but markets have been fighting their way back

over night," said Colin Cieszynski, chief market strategist at

SIA Wealth Management.

Traders could be buying the dip after a big sell-off, but it

does not seem very aggressive, Cieszynski said.

The index snapped its recent losing streak on Wednesday but

is set to extend losses to a second straight week.

The real estate sector was set to lag its

sectoral peers this week, while technology stocks are set to

outperform them.

Across the border, the Dow and the S&P 500

opened flat, while a declining Netflix ( NFLX ) weighed on the

Nasdaq.

In corporate news, crypto miners Hut 8 and Bitfarms ( BITF )

gained 1.6% and 0.4%, respectively, tracking a

2.3%.rise in Bitcoin.

In the week ahead, investors will brace for big tech

earnings from the United States, while corporate earnings in

Canada will also pick up pace.