The Canadian Press

The Toronto stock market appeared heading for a positive open on the first day of February trading as oil and gold prices rose and investors await some important economic data on the U.S. manufacturing sector later in the morning.

The Canadian dollar was off 0.04 of a cent to US93.48¢.

U.S. futures pointed to a higher open on Monday with the Dow Jones industrial futures ahead 46 points to 10,063, the Nasdaq futures rose 5.5 points to 1,744.75 and the S&P 500 futures gained 5.8 points to 1,076.2.

The energy sector could be in for some lift as oil prices rose following four days of declines. The March crude contract on the New York Mercantile Exchange climbed 46¢ to US$73.35 a barrel. Demand concerns pushed crude down 8.1% during January.

The February bullion contract on the Nymex was up $4.40 to US$1,087.40 an ounce while March copper was unchanged at US$3.05 a pound.

Stock markets are coming off a shaky start to the New Year despite a generally positive fourth quarter earnings season as investors question the durability of an economic recovery. The main TSX index fell 5.5% during January while the Dow Jones industrials stepped back 3.5%.

A strong fourth quarter read of U.S. gross domestic product failed to prevent a wave of selling on Friday as investors doubt the 5.7% annualized growth rate can be sustained.

This week is bracketed by two key pieces of U.S. economic data.

Later Monday morning, the Institute for Supply Management releases its January manufacturing index. Economists expect that the index fell to 55.5 in January, down from 55.9 in December. A reading of 50 or above means the sector is growing.

And the U.S. non farm payrolls report for January is out Friday. Three consecutive increases in weekly jobless claims data have soured the mood ahead of the report, which often sets the stock market tone for a week or two. Investors hope for a modest gain of 20,000 jobs during the month.

Canadian jobs data also comes out Friday. It is expected the economy created 15,000 jobs during January.

In corporate news, Toyota Canada has unveiled its solution to the sticky pedal problem that has been blamed for unwanted acceleration in some vehicles and resulted in a massive recall of 270,000 in Canada. About 4.3 million Toyotas have been affected worldwide.

The company said Monday it will install a steel reinforcement bar to fix the sticky pedal problem. Dealers are expected to begin repairs soon after they have the parts, expected to be Thursday or Friday.

The Canadian Auto Workers union says it has reached a tentative contract agreement with Xstrata Nickel in Sudbury, Ont. It says the 540 workers at the company’s mines, mill and smelter will learn the details at meeting times to be announced.

Toronto-based MagIndustries Corp. (TSX:MAA) has signed a framework agreement with a Beijing-headquartered construction company, which is negotiating to build and find up to US$1.2 billion in financing for the proposed Mengo potash project in western Africa.

MagIndustries says its share of the project could fall to 39.9% if the two companies reach a definitive agreement and COMPLANT exercises its option to acquire 50.1% of the project. The Republic of Congo’s stake would remain 10%.

And investors are still taking in company earnings reports for the last quarter.

Exxon Mobil Corp. reported that fourth-quarter net income fell 23% to US$6.05 billion, or US$1.27 a share, beating expectations of US$1.17 a share. Revenue rose to US$89.8 billion from US$84.7 billion.

ConjuChem Biotechnologies Inc. (TSX:CJB) said Friday it lost $15.8 million in its latest financial year compared with a loss of $39.4 million the previous year. The drug developer said the loss amounted to a penny per share for the financial year ended Oct. 31 compared with a loss of 16¢ per share the previous year. Revenue totalled $200,000, down from $1.5 million.

Earlier in Asia, Japan’s Nikkei 225 stock average closed up 0.1% while Hong Kong’s Hang Seng index rose 0.6%.

London’s FTSE 100 index added 0.24% and Frankfurt’s DAX was up 0.17%.

In other corporate news, Imperial Oil Ltd. (TSX:IMO) says noise restrictions recommended in a regulatory report last month are so stringent they may threaten the development of the Mackenzie Gas Project. The report says noise from facilities to be built in the Kendall Island Bird Sanctuary should be at or below 50 decibels 300 metres from the fence line.

@page_break@Canwest Global Communications Corp. (TSXV:CGS) said Friday that its lenders have agreed to give the company more time to complete its restructuring plan. The members of an ad hoc committee noteholders of Canwest Media Inc. have given the company until March 26 to have an approved recapitalization plan.