Canadian stocks are poised for a lower open Friday as commodities continued to move lower after the U.S. Federal Reserve failed to hint on any specific plans to dole out more monetary stimulus. Back home, economic data came in mixed, with unemployment rate remaining flat in the month of May and the nation slipping to a trade deficit in April, reversing surplus in the month of March.
U.S. stock futures were pointing to a lower open.
On Thursday, the S&P/TSX Composite Index snapped its two-session winning streak to shed 41.28 points or 0.36 percent to 11,592.12.
The price of crude oil moving lower Friday morning as the U.S. Federal Reserve disappointed investors, offering no cues on further monetary easing measures. Crude for July lost $2.35 to $82.47 a barrel.
The price of gold extending losses Friday morning after the Federal Reserve failed to hint on any specific plans for further monetary stimulus, disappointing investors. Gold for August shed $7.60 to $1,580.40 an ounce.
In corporate news from Canada, electronics manufacturing services provider SMTC Corp. (SMX.TO) said it acquired Chinese joint venture partner, Alco Electronics.
Funeral homes and funeral services provider Arbor Memorial Services (ABO_A.TO) posted lower second-quarter net earnings of $5.1 million or $0.50 per share, compared to $5.7 million or $0.53 per share in the previous year quarter.
Water treatment services provider GLV Inc. (GLV_A.TO, GLV_B.TO), a water treatment technology company, reported a fourth-quarter normalized net loss attributable to shareholders of C$7.0 million or C$0.16 per share, wider than the normalized net loss of C$5.8 million or C$0.13 per share in the same period last year.
Retail clothing company Groupe Bikini Village (GBV.TO) reported a first-quarter net loss of C$300,000 or C$0.16 per share, narrower than the net loss of C$353,000 or C$0.18 per share in the same period last year.
Engineering services provider Genivar Inc (GNV.TO) said it would acquire WSP Group Plc (WSH.L) in exchange of 435 pence in cash for each WSP Share, valuing WSP at approximately £278 million.
In economic news, Statistics Canada said employment edged up by6 7.700 in the month of May, after two months of large gains. Meanwhile, the unemployment rate was flat at 7.3 percent. Economists had expected 5,000 new jobs in May, and the unemployment rate to edge up to 7.4 percent.
Separately, the agency said Canada posted a trade deficit of $367 million in April, after five consecutive monthly surpluses. Merchandise exports declined 1.2 percent in April, while imports edged up 0.1 percent, resulting in a trade deficit of $367 million in April, down from a surplus of $152 million in March.
From the U.S., the Commerce Department said the nation exported some $182.9 billion in goods and services while imports were tallied at $233 billion, resulting in a trade deficit of $50.1 billion. While the resulting overall trade deficit of $50.1 billion is lower than the $52.6 billion recorded in March, it remains higher than the $49.3 billion deficit level predicted by most economists.
Elsewhere, German exports declined 1.7 percent month-on-month in April after adjusting to seasonal and calendar variations, the Federal Statistical Office said. This was the first decline in exports since December 2011. Economists expected only a 0.7 percent fall in shipments during the month.
A report from the Office for National Statistics revealed U.K. output price inflation eased in May to the lowest since November 2009. Output price inflation fell to 2.8 percent in May from 3.2 percent in April. The annual rate was expected to stay at 3.2 percent.
by RTT Staff Writer
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