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TSX ends up 0.4% at 26,524.16

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Eclipses Friday's record closing high

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Dollarama jumps 9.8% after results beat estimates

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Energy gains 2.2% as oil settles 4.9% higher

(Updates at market close)

By Ragini Mathur and Fergal Smith

June 11 (Reuters) - Canada's commodity-linked main stock

index rose on Wednesday as oil prices jumped and investors

focused on U.S. inflation data that could increase the chances

of the Federal Reserve cutting interest rates in the coming

months.

The S&P/TSX composite index ended up 97.85 points,

or 0.4%, at 26,524.16, eclipsing the record closing high it

posted on Friday.

U.S. consumer prices increased less than expected in May as

cheaper gasoline partially offset higher rents. The two-year

U.S. Treasury yield, which typically moves in step

with interest rate expectations, was down 6.1 basis points at

about 3.95%.

"On a day-to-day basis for the past couple of months, it

seems like the trade updates have really driven markets," said

Josh Sheluk, a portfolio manager at Verecan Capital Management.

"Now it seems like maybe we are getting past that and refocusing

on real economic data and things that are driving the market in

a more meaningful way."

"As long as there is not a recession in Canada and the U.S.,

I think markets should continue to go higher," Sheluk said.

Dollarama DOL.TO beat quarterly sales and profit estimates

as consumers favored discounted alternatives for household

supplies and groceries amid domestic economic uncertainty. The

company's shares jumped 9.8%, while the consumer discretionary

sector ended 1.7% higher.

Energy added 2.2% as the price of oil settled 4.9%

higher at $68.15 a barrel on rising Middle East tensions.

Safe-haven gold also rose in a boost for metal mining

stocks. The materials group was up 0.6%, and technology added

1.4%.