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Mar. 8, 2010 (Baystreet.ca) --
Canadian stocks rose to their highest level in 2010 in mid-morning deals Monday, with energy and financial stocks turning in particularly strong performances.
The S&P/TSX composite index sampled the rarified air above the 12,000 mark before settling back 12.24 points by noon hour, to 11,962.90
The Financials Index moved up, as Bank of Nova Scotia rose 0.52% and RBC edged up 0.69%.
Among energy stocks, Cenovus Energy added 1.55% and Husky Energy moved up 0.72%.
Oil and natural gas company Cinch Energy edged up 0.58% after reporting that its fourth-quarter net loss was $1.54 million or $0.03 per share, compared to a loss of $1.44 million or $0.03 per share in the same quarter last year.
Research In Motion was trading higher by 3.70% after Bank of Montreal hiked its rating on the stock to an "Outperform" from a "Market Perform".
Base metals stocks were also in the limelight, with FNX Mining gaining 2.45%.
Base metals explorer Quadra Mining rallied 4.89%. The company swung to profit reporting a better-than-estimated fourth-quarter net earnings of $0.46 per share, compared to a loss of $1.94 per share for the fourth quarter in 2008.
It also announced that it has executed a memorandum of understanding for the formation of a joint venture with the largest Chinese utility company, State Grid International Development Ltd.
Mineral explorer Nuinsco Resources moved higher by 6.67% after it said it has agreed with Coventry Resources to extend the closing date for its sale of the Cameron Lake Gold Project.
Meanwhile, gold stocks were under pressure, as Yamana Gold shed 2.75% after Thomas Weisel trimmed its price target on the stock.
Barrick Gold was down 0.79%.
Precious metals explorer NovaGold Resources edged up 0.15% after it announced plans to issue 13,636,364 common shares at $5.50 per share for gross proceeds of $75 million to a private investment fund.
In economic news, Canadian Mortgage and Housing Corporation said housing starts in the country rose a better-than-expected 6.1% in February. New home construction rose to a seasonally adjusted annualized rate of 196,700 units from a revised 185,000 units in January.
The Canadian dollar progressed 0.06 cents to 97.22 cents U.S.
ON BAYSTREET
Eight of the 14 TSX subgroups were negative by midday. Gold sagged 1.3%, followed by materials, down 0.8%, and consumer staples skidded 0.7%.
The half-dozen gainers were led by telecoms and information technology, picking up 0.6% each, while real-estate eked up 0.2%.
The TSX Venture Exchange gained 2.15 points to 1,560.08, while the Nasdaq Canada index added 25.64 points to 783.26.
ON WALLSTREET
In New York, stocks edged mostly lower on Monday, with the S&P 500 Index struggling to maintain a seven-day winning streak as American International Group Inc.'s $15.5-billion U.S. sale of another unit lifted financial shares.
The Dow Jones industrial average floundered 14.44 points to approach lunch time at 10,551.76.
The S&P 500 index slid 1.11 points to 1,137.59, and the Nasdaq composite was ahead 2.89 points to 2,329.24.
Blue-chip gains were led by McDonald's Corp, up 2.5%, after the fast-food chain reported a better-than-expected 4.8% rise in its global same-store sales in February.
Cisco Systems Inc. rose 1.6%, with the networking-equipment giant planning what it bills as a "significant" announcement Tuesday.
AIG shares gained 3.1% after MetLife Inc. said it would buy the troubled insurer's overseas life and health insurance unit for $15.5 billion U.S.
Shares of MetLife climbed 4.6%.
The deal is the second this month by AIG, part of its ongoing effort to repay billions in dollars of government aid.
In other M&A activity, U.K.-based Royal Dutch Shell PLC and China-based PetroChina made a $3-billion U.S. joint bid for Australian coal-seam gas producer Arrow Energy.
Treasury prices dipped, raising the yield on the 10-year note to 3.70% from Friday's 3.68%. Treasury prices and yields move in opposite directions.
The price of a barrel of oil subsided 40 cents to $81.10 U.S.
Gold prices slid $14 to $1,121 U.S.