TSX positive at open

Canadian stocks began to build on their recent gains Monday morning on lack of positive triggers. The S&P/TSX composite index gained 60.86 in the first hour of trading, to break past the psychologically-important 12,000 mark at 12.036. While the price of oil ticked higher, gold was flat. Moreover, stocks may wilt under pressure on profit taking after the main index has surged nearly 5% in the previous week. With a light economic calendar this week, traders will be focusing on stock specific news and movement in commodity prices to get clues. Financial stocks may be in play after AIG said it will sell its overseas life and health insurance unit, Alico, to MetLife Inc for $15.50 billion. Last week, this sector was in limelight after a majority of Canadian banks released encouraging earnings reports. In corporate news, health-care investment company Centric Health reported earnings of $0.04 per share for the full-year 2009, up from $0.026 per share in the prior year. The country's largest telecommunication operator BCE Inc. will improve its cash flow and in turn its dividend payouts, according to a report in Baron's. Mineral explorer Nuinsco Resources said it has agreed with Coventry Resources to extend the closing date for its sale of the Cameron Lake Gold Project. Base metal explorer Quadra Mining swung to profit reporting fourth-quarter net earnings of $0.46 per share, compared to a loss of $1.94 per share for the fourth quarter in 2008. The company also announced that it has executed a memorandum of understanding with State Grid International Development Limited, a wholly-owned subsidiary of State Grid Corporation of China, the largest Chinese utility company and a major end user of copper for the formation of a joint venture. Oil and natural gas company Cinch Energy reported 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. Gaming solutions provider CryptoLogic said it has signed a three-year agreement to license at least nine of its most popular online betting games to Betsson Malta. In brokerage updates, RBC upped SNC-Lavalin price target to $57 from $54. 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 0.28 cents to 97.44 cents U.S. ON BAYSTREET All but three of the 14 TSX subgroups were positive to begin the day and the week. Metals and mining once again led the festivities, up 1.1%, followed by global base metals and energy, adding 0.7% each. The three laggards were health-care, 0.4% sicker, and industrials and utilities, off 0.1% each. The TSX Venture Exchange gained 13.18 points to 1,571.11, while the Nasdaq Canada index put on 12.37 points to 769.99. ON WALLSTREET In New York, stocks fought to move past the breakeven point Monday, as investors weighed another deal involving insurer AIG. The Dow Jones industrial average floundered 0.68 points to 10,565.52. The S&P 500 index slid 0.22 points to 1,138.48, and the Nasdaq composite eked out a gain of 1.05 points to 2,327.40. Wall Street rallied Friday after a government report showed that the economy lost fewer jobs in February than had been expected. But with little in the way of economic news to sway investors one way or the other, trading could be choppy as the new trading week kicks off. The next major economic reports are unemployment claims, set for release Thursday, and retail sales on Friday. AIG announced a deal to sell its international unit Alico to MetLife for cash and stock valued at $15.5 billion U.S. AIG, which is majority-owned by the U.S. government following a massive bailout, agreed just last week to sell its Asian life insurance business to Britain's Prudential for $35.5 billion U.S. Treasury prices dipped, raising the yield on the 10-year note to 3.71% from Friday's 3.68%. Treasury prices and yields move in opposite directions. The price of a barrel of oil gained 42 cents to $81.92 U.S. Gold prices slid three dollars to $1,135 U.S.