(Updated at 10:08 a.m. ET/ 1408 GMT)

By Nikhil Sharma

Oct 11 (Reuters) - Canada's main stock index hit a

record high on Friday led by gains in mining stocks, while a

surprise decline in domestic unemployment rate assuaged concerns

about a weak labor market.

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

rose as much as 180.36 points, or 0.74%, in morning

trade to touch an all-time high of 24,482.62. The index was set

for its fifth consecutive weekly rise.

Canada's unemployment rate unexpectedly fell for the first

time in 8 months to 6.5%, while the country added a net 46,700

jobs in September.

"Overall, most of those jobs were full-time jobs, which is

always viewed as higher quality in terms of job growth," said

Chris McHaney, head of investment management and strategy at

Global X.

"I think markets overall are seeing that as a positive."

At least nine sectors on the TSX gained, led by a 1.1% rise

in materials tracking higher gold prices against a

soft dollar. A rise in copper prices also lent support.

Top individual gainers were NovaGold Resources Inc​,

Fortuna Mining Corp​ and Celestica Inc , that

rose between 2.9% to 3.7%.

However, the energy and healthcare fell

0.2% and 0.3%, respectively.

While the data allayed concerns about the labor market, it

also weakened the case for an outsized rate cut by the Bank of

Canada.

Bets for a 50-basis-point cut have now reduced to 37% from

51.6% earlier in the day, while those for a quarter-point cut

have increased to 63% from 48.4%.

Across the border, U.S. producer prices were unchanged in

September, supporting views that the Fed would cut interest

rates again next month.

Wall Street kick-started the earnings season, with major

financial institutions like JPMorgan Chase ( JPM ), Wells Fargo ( WFC )

, and BlackRock's reporting strong quarterly

results.