Canadian Commentary
FONT-SIZE Plus   Neg
Share SHARE

TSX Poised For Lower Open - Canadian Commentary

Canadian stocks may open lower Tuesday amid faltering commodities and on mixed cues from the global equity markets. While most Asian markets ended higher overnight, European shares were lingering in the red on profits booking after the recent strong gains and as doubts remain over Spain and Italy.

Meanwhile, commodity prices are looking to the release of minutes the March Federal Reserve policy meeting for direction

U.S. stock futures were pointing to a marginally lower open.

On Monday, the S&P/TSX Composite Index rallied 114.88 points or 0.93 percent to 12,507.06.

The price of crude oil was paring previous session's gains Tuesday morning amid lingering worries over demand growth. Crude for May shed $0.53 to $104.70.

The price of gold was little changed Tuesday morning as the U.S. dollar was ticking lower ahead of the release of FOMC minutes, due out later today. Gold for June edged down $4.90 to $1674.80.

In corporate news from Canada, Royal Bank (RY.TO) said it would acquire the remaining 50 percent stake in the joint venture RBC Dexia Investor Services Ltd. from Banque Internationale à Luxembourg S. A. for C$1.1 billion, in cash.

Food and beverages company Molson Coors Brewing Co. (TPX_A.TO) said it would acquire StarBev for 2.65 billion euros, or $3.54 billion.

Bio-pharmaceutical company Lorus Therapeutics (LOR.TO) announced the presentation of new preclinical data for Lorus' anticancer drug, LOR-253. The data supports the treatment of lung and colon cancers with LOR-253 in combination with a variety of chemotherapy agents. Yesterday, the stock shed 10 percent to C$0.250.

Oil and gas company Bonterra Energy (BNE.TO) announced that Randy Jarock will retire from his positions of President and Chief Operating Officer of the company effective June 30, 2012.

Senior independent energy company Canadian Natural Resources (CNQ.TO) revealed the resignation of Allan Markin, effective April 2, 2012, as a Director and as Chairman of the Board. The company appointed Murray Edwards, currently Vice Chairman, as Chairman of the Board of Directors, effective April 2, 2012.

Petroleum and natural gas company Palliser Oil & Gas (PXL.V) slipped into the red in fourth quarter, reporting net loss of C$2.42 million or C$0.05 per share compared to a profit of C$174,000 or C$0.01 in the prior year quarter.

In economic news, euro zone producer price inflation eased to 3.6 percent year-on-year in February from a revised 3.8 percent in January, Eurostat said. The inflation rate, nonetheless, stayed above the consensus forecast of 3.5 percent. On a monthly basis, the industrial producer price index climbed 0.6 percent, following a 0.8 percent gain in January. Economists were expecting an increase of 0.5 percent.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Market Analysis

comments powered by Disqus