TORONTO - The Toronto stock market was higher Monday afternoon as investors bought up stocks following a string of losses in recent days over worries that recent strength in commodity prices has run its course.

The S&P/TSX composite index broke a four-session losing streak to advance 61.74 points to 13,438.89, led by gains in the energy, mining and financial sectors while the TSX Venture Exchange slipped 19.52 points to 2,018.7. The Canadian dollar was lower against the greenback, down 0.47 of a cent to 102.77 cents US.

The dollar earlier found strength from data showing that Canadian manufacturing sales increased 1.9 per cent to $47.5 billion in March.

But losses picked up following a speech by Bank of Canada governor Mark Carney, where he said a further rise in interest rates will have to be "carefully considered." The central bank makes its next announcement on interest rates on May 31.

The base metals sector rose 1.42 per cent as copper prices bounced off early lows and the July contract on the Nymex was ahead a cent cents at US$3.99 a pound. Teck Resources (TSX:TCK.B) advanced $1.15 to C$46 and Quadra FNX Mining (TSX:QUX) improved by $1.16 to $14.85.

The gold sector was up 1.25 per cent as bullion prices ticked higher with the June bullion contract down $3 to US$1,490.60 an ounce. Barrick Gold Corp. (TSX:ABX) gained 35 cents to C$43.98 and Goldcorp Inc. (TSX:G) climbed 81 cents to $47.09.

The financial sector climbed 0.5 per cent with Scotiabank (TSX:BNS) ahead 40 cents to $58.85 and Royal Bank (TSX:RY) was up 50 cents to $58.95.

The energy sector gained 0.14 per cent even as oil prices continued to retreat from a 30-month high near US$115 at the beginning of the month amid demand concerns. The June contract on the New York Mercantile Exchange fell $1.61 to US$98.04 a barrel while the energy sector rose 0.14 per cent. Suncor Energy (TSX:SU) gained 37 cents to C$38.94 and Imperial Oil (TSX:IMO) rose 21 cents to $45.36.

Prices also fell sharply last week as data showed a sharp drop in gasoline consumption in the U.S.

The consumer staples sector was the weakest group with Shoppers Drug Mart (TSX:SC) down 58 cents to $41.46.

The positive showing on the TSX came after the market fell 1.39 per cent last week, its third weekly loss in a row, leaving the main index below where it started 2011 trading. Higher commodity prices have supported the resource-heavy TSX but commodities has been volatile recently amid worries about slowing economic growth and higher inflation.

"I think we could easily a further falling of commodity prices," said Kate Warne, Canadian markets specialist at Edward Jones in St. Louis, "because investors had gotten a bit too excited about the long-term outlook for commodities and thinking global growth is going to be strong."

"It will remain (volatile) as investors try to sort out whether commodity prices got ahead of the fundamentals and whether global growth is slowing enough that short term, that will affect demand for commodities."

The operator of the Toronto stock exchange was also in sharp focus after TMX Group Inc. (TSX:X) said over the weekend it has received a takeover offer from Maple Group Acquisition Corp., made up of five of the country's largest pension funds and four Canadian-owned investment dealers. The offer is worth about $3.6 billion.

Maple Group is offering $48 a share, a big premium from the TMX Group's closing price of $41.75 on Friday and its shares ran ahead $2.37 to $44.12. TMX Group has been in the midst of an attempted multibillion-dollar merger with the London Stock Exchange.

Meanwhile, in the U.S., the Nasdaq and IntercontinentalExchange say they have withdrawn their bid to buy the company that owns the New York Stock Exchange. NYSE Euronext (NYSE:NYX) says it's committed to a US$10-billion merger with German exchange operator Deutsche Boerse.

New York markets were mainly lower as the Dow Jones industrial average dipped 2.73 points to 12,593.02.

The Nasdaq fell 28.71 points to 2,799.76 and the S&P 500 index ticked 2.8 points lower to 1,334.97.

In other corporate news, Research in Motion Ltd. (TSX:RIM) is recalling about 1,000 of its PlayBook tablets that were shipped with faulty operating systems that may have prevented users from performing the initial setup of the device. In a statement, RIM said the majority of the affected devices haven't reached customers. Its shares added six cents to $41.98.

Home improvement retailer Lowe's Cos. said Monday its first-quarter profit fell six per cent to US$461 million or 34 cents a share, pressured in part by bad weather and difficult economic conditions, and cut its full-year outlook. Its shares fell 75 cents to US$25.01 in New York.

European bourses were lower as with investors taken aback by the arrest of prominent political figure and International Monetary Fund head Dominique Strauss-Kahn in New York on attempted rape and sexual assault charges.

London's FTSE 100 index lost 0.04 per cent, Frankfurt's DAX fell 0.21 per cent and the Paris CAC 40 dropped 0.72 per cent.

A member of France's Socialist party, Strauss-Kahn was also widely considered the strongest potential challenger next year to President Nicolas Sarkozy, whose political fortunes have been flagging.