Canadian stocks may struggle to move higher at open Friday as commodities turned weak after China reported poor trade data, which raised concerns over demand growth from the commodity-hungry nation
Chinese trade data for July showed exports rising just 1 per cent over a year earlier, sharply below forecasts of 5 per cent. Import growth fell to 4.7 per cent from the previous month's 6.3 per cent, also below forecasts.
Smartphone maker Research In Motion (RIM.TO) may be in play amid reports that IBM is eying its enterprise unit.
U.S. stock futures were pointing to a lower open.
On Thursday, the S&P/TSX Composite Index gained 77.10 points or 0.65 percent to 11,858.13.
The price of crude oil was moving lower Friday morning amid demand concerns after today's data revealed China's economy continued to shrink amid declining import and exports.
Earlier today the IEA trimmed its 2013 oil demand growth forecast by 0.40 mbd to 90.50 mbd from the earlier 90.90 mbd, on weaker economic growth assumptions. For the year 2012, the IEA now forecasts oil demand growth of 0.90 mbd to 89.60 mbd. Crude for September was down $1.56 to $91.80 a barrel.
The price of gold was ticking lower Friday morning amid a firm U.S. dollar, with stimulus expectations from global central banks supporting gold price. Gold for December was down $10.30 to $1,609.90 an ounce.
In corporate news from Canada, Brookfield Asset Management (BAM_A.TO) reported a sharply lower second-quarter net profit at $138 million or $0.17 per share, from $838 million or $1.26 per share a year ago. Analysts were expecting the company to report earnings of $0.37 per share this quarter.
Software solutions provider Open Text Corp. (OTC.TO) reported a sharp slump in its fourth-quarter net income at $7.97 million or $0.14 per share compared to $28.59 million or $0.49 per share in the same quarter last year. However, non-GAAP earnings rose to $1.17 per share from $1.05 per share in the year ago quarter, missing consensus estimates at $1.16 per share for the quarter.
Precious metals miner Osisko Mining Corp. (OSK.TO) swung to profit in second-quarter, reporting net income of C$13.3 million or C$0.03 per share, compared to a net loss of C$23.8 million or C$0.06 per share in the comparable quarter last year. Analysts were expecting the company to report earnings of $0.07 per share this quarter.
Wood products company Stella-Jones Inc. (SJ.TO) said second-quarter net income grew to C$20.84 million or C$1.30 per share, from C$17.27 million or C$1.08 per share a year before. Analysts were expecting the company to report earnings per share of C$1.22 for the quarter.
Global energy services company Shawcor Ltd. (SCL_A.TO, SCL_B.TO) Thursday reported second-quarter net income of C$21.40 million or C$0.30 per share, compared to C$15.70 million or C$0.21 per share in the previous year quarter.
Silver streaming company Silver Wheaton Corp. (SLW.TO) reported a lower second quarter net income at $141.4 million or $0.40 per share compared to $148.1 million or $0.42 per share in the same period last year. Analysts expected the company to earn $0.37 per share this quarter.
Crude oil and natural gas transporter Pembina Pipeline Corp. (PPL.TO) reported improved second quarter net profit of C$80.4 million compared to C$48.0 million last year. On a per-share basis, earnings declined to C$0.28 from C$0.29 on higher share count.
Renewable energy company Algonquin Power & Utilities Corp. (AQN.TO) reported lower second-quarter net earnings of $6.1 million or $0.04 per share compared to $7.3 million or $0.07 per share last year. Adjusted net earnings were $6.9 million or $0.05 per share compared to $8.2 million or $0.07 per share last year. Analysts were expecting the company to report earnings of $0.04 per share for the quarter.
Gaming and entertainment company Great Canadian Gaming Corp. (GC.TO) reported a decline in its second quarter profit at C$2.7 million or C$0.03 per share, compared to C$10.3 million or C$0.12 per share last year. Analysts predicted the company to earn C$0.15 per share for the quarter.
Oil and natural gas company Legacy Oil + Gas Inc. (LEG.TO) reported higher second-quarter funds from operations of C$47.42 million or C$0.33 per share compared to C$40.50 million or C$0.28 per share in the year ago quarter.
Conventional oil and gas company NuVista Energy Ltd. (NVA.TO) slipped into the red reporting second-quarter net loss of $85.4 million or $0.86 per share compared to a profit of $22.4 million or $0.23 per share in the year-earlier quarter. Adjusted loss was $14.7 million or $0.15 per share, compared to $2.6 million or $0.03 per share in the same period last year.
Petroleum and natural gas company Penn West Petroleum (PWT.TO) reported a lower second-quarter 2012 net income at C$235 million or C$0.50 per share compared to C$271 million or C$0.58 per share last year.
Automotive supplier Magna International Inc. (MGA, MG.TO) on Thursday reported a 24 percent increase in profit for the second quarter and affirmed its sales outlook for fiscal 2012.
In economic news, Statistics Canada said employment in July declined by 30,000, resulting in a 0.1 percentage points rise in unemployment, which now stands at 7.3 percent. However, on a yearly basis employment increased 0.8 percent or 139,000.
From the euro zone, Germany's EU harmonized inflation came in below the preliminary estimates In July, final data released by the Federal Statistical Office showed. The harmonized index of consumer prices measured under the EU methodology, increased 1.9 percent annually in July, slightly slower than the 2 percent gain estimated earlier. In June, the inflation rate was 2 percent.
by RTT Staff Writer
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