Canadian stocks may extend losses at open Monday as traders continued to fret over the recent batch of soft economic data from around the globe, which have rekindled concerns over economic recovery. While most Asian markets ended lower overnight, European shares were lingering in the red amid skepticism over the outcome of the euro zone finance ministers meeting, due later in the day.
Furthermore, Spanish bond yields moved past the seven percent mark, adding worries over the euro debt situation.
U.S. stock futures were pointing to a lower open.
On Friday, the S&P/TSX Composite Index extended losses for a second session, dipping 157.38 points or 1.33 percent to 11,659.65.
The price of crude oil was trading firm around $85 Monday morning after soft inflation data out of China raised speculation of further monetary easing measures in the commodity hungry nation. China's inflation fell to a 29-month low in June, with the consumer prices rising 2.2 percent year-over-year, down from 3 percent reported in May. Crude for August gained $0.38 to $84.83 a barrel.
The price of gold was lingering below the $1,600-mark Monday morning as the U.S. dollar was steady ahead of this week's economic data. Gold for August edged up $4.70 to $1,583.60 an ounce.
In corporate news from Canada, transportation equipment maker Bombardier Aerospace (BBD_A.TO, BBD_B.TO) announced that it bagged orders for five CS100 and 10 CS300 jetliners, valued at $1.02 billion.
Thomson Reuters Corp. (TRI.TO) said it would acquire all the shares of electronic foreign exchange platform FX Alliance Inc. (FX), or FXall, for $22 per share in cash.
Supply chain management software provider Tecsys Inc. (TCS.TO) reported lower fourth quarter net profit of C$473,000 or C$0.04 per share compared to C$491,000 or C$0.04 per share in the prior year quarter.
Pharmaceutical company Medifocus Inc. (MFS.V) announced a non-brokered private placement of up to 26.66 million units at $0.15 per unit for gross proceeds of up to $4 million.
In economic news from the euro zone, Germany's exports rose more than expected in May, the latest figures from the Federal Statistical Office showed. Exports grew 3.9 percent month-on-month in May, following a 1.7 percent decline in April. Economists expected only a 0.2 percent rise in shipments.
by RTT Staff Writer
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