TORONTO (Reuters) - The Toronto Stock Exchange’s main index ended higher boosted by mining and financial issues, as Bay Street’s fears over the US subprime mortgage market continued to ease.The S&P/TSX composite index closed up 65.59 points, or 0.5 percent, at 12,874.32.

For the most part, investors looked past concerns over the fallout from subprime mortgage losses, which helped to send the benchmark index down 255.55 points, or two percent, on Tuesday.

The bounce came even as former Federal Reserve Chairman Alan Greenspan added to those worries Thursday when he warned that problems in the US high-risk mortgage market could spread to other sectors.

Meanwhile, the Canadian mortgage industry association issued a statement that called the domestic mortgage market “a picture of health” compared with the United States.

“There’s been a lot of news thrown at the market and I think everyone is trying to digest it,” said Brian Pow, vice-president of research and equity analyst at Acumen Capital Partners in Calgary.

All but one of the TSX index’s 10 main groups were higher, with the resource-laden materials group up 1.4 percent and financials up 0.5 percent.

Manulife Financial was up 29 Canadian cents, or 0.8 percent, at C$39.17.

Among miners, Barrick Gold gained 63 Canadian cents, or 1.9 percent, to C$33.03, while Goldcorp added 34 Canadian cents, or 1.2 percent, to C$28.29.

Iamgold rose 10 Canadian cents, or 1.1 percent, to C$8.99 after posting a 52 percent jump in quarterly profit, lifted by higher gold prices and increased production.

Shares of oil and gas companies ended flat, down 0.05 percent, amid lower crude prices as OPEC members agreed to keep the group’s supply unchanged.

Nexen rose 49 Canadian cents, or 0.8 percent, to C$65.01, while Canadian Oil Sands Trust climbed 87 Canadian cents, or 3.4 percent, to C$26.30.

Elsewhere, shares of Loblaw Cos. Ltd. slipped 24 Canadian cents, or 0.5 percent, to C$47.61 after it posted a huge fourth-quarter loss, as expected, as it wrote down goodwill from its Provigo acquisition.

Biovail rose 20 Canadian cents, or 0.8 percent, to C$24.41 after it reported a lower fourth-quarter profit and said it would maintain its 2007 outlook.