Canadian stocks are poised for a lower open Friday as commodities continued to drift lower on concerns about China after data showed the nation's industrial production grew the least since 2009 in April and retail sales growth slowed to the weakest in over a year.
The $2 billion trading loss by American banking giant JPMorgan Chase & Co. might also weigh on trader sentiment.
In news out of Europe, talks on forming a new Greek government entered a fifth day after a second attempt to form a coalition failed. It is now up to the leader of Greece's main socialist party, Evangelos Venizelos, who has received the presidential mandate to form a viable government.
Meanwhile, data from Statistics Canada revealed that Canadian economy added more jobs than expected in the month of April.
U.S. stock futures were pointing to a lower open.
On Thursday, the S&P/TSX Composite Index snapped its six-session losing streak to add 61.16 points or 0.52 percent to 11,736.17.
The price of crude oil moved back to fresh 5-month low Friday morning amid lingering concerns over demand growth. Also, worries about China, the second biggest energy consuming nation, returned to the fore after data showed China's industrial production grew the least since 2009 in April and retail sales growth slowed to the weakest in 14 months. Crude for June shed $1.28 to $95.80 a barrel.
The price of gold dipped to a new calendar year low Friday morning amid a steady U.S. dollar and anxiety over a new government in Greece. Gold for June lost $12.60 to $1,582.90 an ounce.
In corporate news from Canada, Enerplus Corp. (ERF.TO) slipped into the red in first quarter, reporting net loss of C$33.82 million or C$0.18 per share versus profit of C$29.55 million or C$0.17 per share last year.
Canadian stock market operator TMX Group Inc. (X.TO) reported a lower first-quarter net income of C$56.8 million or C$0.76 per share compared to C$63.1 million or C$0.84 per share last year. Adjusted earnings per share of C$0.76 was lower than C$0.97 a year before, while analysts were expecting earnings per share of C$0.88.
In economic news, Statistics Canada said the economy generated 58,000 jobs in April, mostly in full-time work. However, with more people searching for work, the unemployment rate increased by 0.1 percentage points to 7.3 percent. Compared with 12 months earlier, employment was up 1.2 percent or 214,000.
From the U.S., the Labor Department said its producer price index fell by 0.2 percent in April after coming in unchanged in March. Economists had expected the index to remain flat for the second straight month. Excluding the sharp drop in energy prices as well as a modest increase in food prices, the core producer price index edged up by 0.2 percent in April. The modest increase in core prices, which compares to a 0.3 percent increase in the previous month, came in line with the expectations of economists.
From the euro zone, Germany's EU harmonized consumer prices increased as estimated earlier in April, final data released by the Federal Statistical Office showed. The harmonized index of consumer prices (HICP) increased 2.2 percent on an annual basis in April, in line with the preliminary estimates. In March, EU harmonized consumer prices advanced 2.3 percent annually.
by RTT Staff Writer
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