TORONTO (Reuters) - The Toronto Stock Exchange's main index ended slightly higher yesterday, as nagging worries over fall-out from the credit crunch offset strong resource issues, as oil surged to a record high.

The energy sector, which makes up about 30 percent of the index, kept the TSX above the break-even mark as crude settled up $2.37 at $110.87 a barrel, after earlier jumping as high as $112.21, on news of a sharp drop in US inventories.

Canadian Natural Resources provided the biggest lift as it rose C$3.09, or 4.1 percent, to C$78.12.

Canadian Oil Sands Trust was up C$1.85, or 4.4 percent, at C$43.75 and the whole sector gained 2.2 percent.

The S&P/TSX composite index closed up 23.02 points, or 0.17 percent, at 13,750.55, but only four of its 10 main sectors moved higher.

The benchmark remained range-bound for much of the day, stung by weak financials, with economic worries dragging the sector down 1.2 percent.

Toronto-Dominion Bank fell 97 Canadian cents, or 1.5 percent, to C$62.40 and Bank of Nova Scotia slipped 72 Canadian cents, or 1.5 percent, to C$45.94.

"The main credit problem is still with us, the housing problem is still with us, the question of whether or not the US is in recession is still with us," said John Kinsey, portfolio manager at Caldwell Securities Ltd.

"Today it seems people are still worried about these problems and that has affected the financials."

Shares of investment dealer Canaccord Capital rallied 93 Canadian cents, or nine percent, to C$11.28 after it said it will repurchase most of its clients' frozen asset-backed commercial paper at par value, provided the overhaul of the Canadian non-bank ABCP market is successful.

Bay Street also won support from an upswing by gold producers, with Agnico-Eagle Mines adding C$2.84, or 4.1 percent, to C$72.20 and Barrick Gold rising C$1.36, or 3.1 percent, to C$44.96.

The price of bullion strengthened to over $930, following oil's momentum, and helped Toronto's gold producer sub-index rise 2.5 percent.

Canadian National Railway was among the biggest weighted decliners, giving up C$2.05, or four percent, to C$49.50, while the industrials sector was down 2.1 percent.