*

Toronto Stock Exchange closes up 0.85%

*

Adds over 465 points in two days after Trump's victory

*

Federal Reserve's 25 bps rate cut fuels optimism

(Rewrites throughout with fresh quotes, comments and Fed rate

cut)

By Nikhil Sharma and Promit Mukherjee

Nov 7 (Reuters) - Canada's main stock index zoomed past

its all-time high, adding another over 200 basis points on

Thursday as investors piled up more shares from the day before

after former President Donald Trump won the presidential race.

The Federal Reserve's anticipated

25 basis points reduction

in interest rates further fueled the optimism.

The Toronto Stock Exchange's S&P/TSX composite index

closed up 208.48 points, or 0.85%, at 24,845.93, its

highest till date and clocking a return of 19% this year.

"Optimists are focusing on how Trump is better for American

business policies," said Matt Skipp, chief investment officer at

SW8 Asset Management,

"Everybody's glad the uncertainty is removed," he said,

adding the expected rate cut by the Fed kept the momentum alive.

Fed Chair Jerome Powell said on Thursday that the U.S.

economy was performing remarkably well and could perform even

better in 2025.

"If anything, people feel next year - I've heard this

from several people - that next year could even be stronger than

this year," he said during a news conference after the rate cut

decision.

There have been concerns that the return of Trump could

mean

uncertainty

in trade policies, taxes and tariffs, which could make the

work tough for the Fed and many other central banks of countries

whose economies are closely coupled with the U.S.

Canada is the second biggest trading partner of the U.S.

and exports around

three-quarters

of its total outbound shipments. It also imports 60% of all

its imported goods from its neighbor.

"Overall, everything seems to be hanging in this very

positive vibe in the market right now," Allan Small, senior

investment advisor at Allan Small Financial Group with iA

Private Wealth, said, adding the current optimism was led by

hopes the new president would cut taxes significantly.

Among sectors, the basic materials or mining companies

index was up almost 2%, led by a clutch of gold and

silver mining companies.

The technology index was up 1.66%, supported by

Lightspeed Commerce ( LSPD ), which shot up by almost 7% after

the software maker beat second-quarter profit estimates.

The index of real estate and energy companies also went up

over a percentage point on the day.

Across the border, Wall Street's main indexes also stuck to

their rally seen on Wednesday.