TORONTO (Reuters) - The Toronto Stock Exchange's main index reversed a three-day losing streak and ended higher yesterday as the energy sector got a boost from higher crude prices and materials issues rose despite softness in some metals prices.The S&P/TSX composite index closed up 78.04 points, or 0.6 percent, at 13,741.92, recovering from a 128 point fall earlier in the day.

The benchmark index had shed more than 430 points in the previous three sessions.

"We've had a lot of losses lately," said Adrian Mastracci, portfolio manager and president at KCM Wealth Management in Vancouver.

"After something like that — a mini correction and a bit oversold — sometimes it's just time to get back in there and buy some of the bargains."

All but one of the TSX index's 10 main groups were higher, led by a 0.7 percent jump in the heavyweight energy sector and a 0.9 percent rise in the materials group, which together comprise more than 40 percent of the market's weight.

The utilities sector lost 0.7 percent. The TSX got a boost from higher US crude, which settled up C$1.20 at $68.97 a barrel, after a US government report showed a surprising drop in fuel inventories, renewing concern about supply during the peak summer driving season.

London Brent crude settled up 36 cents at $70.53 a barrel, after falling $1.19 on Tuesday.

Suncor Energy added 62 Canadian cents, or 0.7 percent, to C$93.25, while EnCana climbed C$1.05, or 1.6 percent, to C$66.43.

Materials shares rose despite weakness in gold and some base metals prices, including copper. Goldcorp rose 41 Canadian cents, or 1.7 percent, to C$25.30, while Teck Cominco climbed 64 Canadian cents, or 1.4 percent, to C$45.94.

"Whether this means all the downward adjustment is over is a question we're going to have to figure out some other day," Fred Ketchen, director of equity trading at ScotiaMcLeod, said of the market's turnaround.

In corporate news, units of Osprey Media Income Fund rose C$1.03, or 14.3 percent, to C$8.25 after the publisher said it received a takeover offer from Black Press that topped an earlier bid from Quebecor's Quebecor Media unit.

Shares of AGF Management Ltd. climbed 10 Canadian cents, or 0.3 percent, to C$36.30 after it reported a 62 percent surge in second-quarter profit on Wednesday on the back of record mutual fund sales.

On the downside, Interoil shares plunged C$6.53, or 18.9 percent, to C$27.96, falling heavily for a second day as the company detailed some results from a highly anticipated natural gas well in Papua New Guinea.