Canadian Stocks Are Tracking Global Markets Higher -- Canadian Commentary

(RTTNews) - The Canadian stock market is rising in early trade Monday. The market is attempting to bounce back from three consecutive days of losses. However, mining stocks are turning in a weak performance due to weakness in gold prices. Global markets are rallying on bargain hunting, following the weakness of the prior trading week.

Markets in Europe are positive territory at the start of the new trading week, after Eurozone economic sentiment topped expectations. Investors are also optimistic for a resolution to the situation in Greece. Greece will present a list of economic reform proposals to international creditors today after Prime Minister Alexis Tsipras' earlier reform plans met resistance from EU leaders.

Markets in the United States are also firmly in the green this morning. Bargain hunting is contributing to the early strength on Wall Street, as traders look to pick up stocks at reduced levels following last week's pullback. A series of M&A deals are also providing a boost to investor sentiment.

Personal income in the U.S. increased by slightly more than expected in the month of February, according to a report released by the Commerce Department on Monday, although the report also showed that personal spending rose by less than anticipated.

The Commerce Department said personal income climbed by 0.4 percent in February, matching the upwardly revised increase seen in January. Economists had been expecting income to rise by 0.3 percent, which would have matched the growth originally reported for the previous month.

Meanwhile, the report also showed that personal spending inched up by 0.1 percent in February after dipping by 0.2 percent in January. Spending had been expected to edge up by 0.2 percent.

Pending home sales in the U.S. increased by much more than expected in the month of February, according to a report released by the National Association of Realtors on Monday, with pending sales jumping to their highest level in twenty months.

NAR said its pending home sales index surged up 3.1 percent to 106.9 in February after climbing 1.2 percent to a slightly downwardly revised 103.7 in January. Economists had expected the index to edge up by 0.3 percent.

The benchmark S&P/TSX Composite Index is up 137.71 points or 0.93 percent at 14,950.13.

On Friday, the index closed down 57.38 points or 0.39 percent, at 14,812.42. The index scaled an intraday high of 14,897..78 and a low of 14,717.68.

The Capped Health Care Index is soaring by 6.63 percent. Valeant Pharmaceuticals International (VRX.TO) is climbing by 2.09 percent.

Catamaran (CCT.TO) is surging by 24.97 percent, after it agreed to be acquired by OptumRx for $61.50 per share in cash. OptumRx is UnitedHealth Group's free-standing pharmacy care services business.

The Energy Index is rising by 0.46 percent. Crude oil prices were lower Monday morning, falling further below $50 a barrel on renewed hopes of a nuclear deal with Iran. Sanctions against Iranian oil may be lifted if Tehran can reach an agreement with the West on long-anticipated inspections. The deadline for such a deal is supposedly Tuesday.

Tensions in the Middle East revolving around the chaos in Yemen persist, but a massive glut of U.S. inventories caused last week's rally to peter out.

Canadian Natural Resources (CNQ.TO) is higher by 0.47 percent and Canadian Oil Sands (COS.TO) is up 0.10 percent. Pacific Rubiales Energy (PRE.TO) is gaining 1.64 percent and Encana (ECA.TO) is adding 0.98 percent.

Crescent Point Energy (CPG.TO) is increasing by 0.63 percent and Cenovus Energy (CVE.TO) is advancing by 1.21 percent. Suncor Energy (SU.TO) is also climbing by 1.31 percent.

The Gold Index is declining by 0.70 percent. Gold prices fell Monday morning as the dollar consolidated gains against the euro, weighing on commodities in general.

Gold rallied last week, but comments from Federal Reserve Chair Janet Yellen late Friday may have set the precious metal up for weakness heading into April. An interest rate hike "may be warranted" this year, as long as the U.S. economic recovery is sustained, Federal Reserve Chairman Janet Yellen said Friday afternoon.

Goldcorp (G.TO) is decreasing by 0.30 percent and Eldorado Gold (ELD.TO) is losing 0.74 percent. Yamana Gold (YRI.TO) is declining by 0.42 percent and IAMGOLD (IMG.TO) is falling by 4.69 percent. Barrick Gold (ABX.TO) is dipping by 0.21 percent and Kinross Gold (K.TO) is down 1.01 percent.

The Capped Materials Index is also down 0.33 percent. Agnico Eagle Mines (AEM.TO) is losing 2.07 percent and Silver Wheaton (SLW.TO) is down 1.01 percent.

The Diversified Metal and Mining Index is decreasing by 0.36 percent. First Quantum (FM.TO) is declining by 0.47 percent and Capstone Mining (CS.TO) is losing 0.81 percent. HudBay Minerals (HBM.TO) is dropping by 1.34 percent and Sherritt International (S.TO) is weaker by 2.28 percent.

The heavyweight Financial Index is up 0.94 percent. Canadian Imperial Bank of Commerce (CM.TO) is rising by 0.54 percent and National Bank of Canada (NA.TO) is increasing by 0.30 percent. Bank of Montreal (BMO.TO) is up 0.98 percent and Royal Bank of Canada (RY.TO) is higher by 1.08 percent. Bank of Nova Scotia (BNS.TO) is advancing by 1.08 percent and Toronto-Dominion Bank (TD.TO) is adding 1.11 percent.

The Capped Industrials Index is gaining 0.45 percent. Canadian Pacific Railway (CP.TO) is rising by 0.82 percent and Canadian National Railway (CNR.TO) is adding 1.03 percent.

Bombardier (BBD-A.TO) is down 1.13 percent. Bombardier Transportation has signed a 10-year contract with National Express Group, to provide maintenance for the new Essex Thameside franchise.

Air Canada (AC.TO) is also lower by 0.55 percent, after its AC624 flight crashed on a runway at Halifax Stanfield International Airport in Nova Scotia. The company announced that 23 passengers and crew sustained non-life threatening injuries and were transported to local hospitals.

On the economic front, the Canadian industrial product price index climbed by 1.8 percent in February, according to a report from Statistics Canada Monday morning. Economists were calling for an increase of 0.5 percent. This was the first increase in the index in six months.

Eurozone economic sentiment rose for the fourth successive month to its highest level in nearly four years as lower oil prices, weak euro and measures of the central bank boosted confidence among firms and consumers, survey figures from the European Commission showed Monday.

The economic sentiment index climbed more-than-expected to 103.9 from 102.3 in February, which was revised from 102.1. Economists had expected a score of 103. The latest reading was the strongest since July 2011, when it was 104.

Germany's consumer prices increased for the second straight month in March, preliminary data from the statistical office Destatis showed Monday. Consumer prices rose 0.3 percent from last year after increasing 0.1 percent in February. The annual increase came in line with expectations.

The U.K. mortgage approvals rose to a 6-month high in February, the Bank of England reported Monday. The number of mortgages approved for house purchases rose to 61,760 in February from 60,707 in January. This was the highest since August and above the expected level of 61,000.

In commodities, crude oil futures for April delivery are down $0.59 or 1.21 percent at $48.28 a barrel.

Natural gas for April is up $0.005 or 0.19 percent at $2.644 per million btu.

Gold futures for April are down $13.90 or 1.16 percent at $1,185.90 an ounce.

Silver for May is down $0.324 or 1.90 percent at $16.745 an ounce.