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Bay Street Seen Opening Higher

Canadian shares may open slightly higher on Tuesday, as investors may go for some bargain hunting after three successive days of losses. Investors are also likely to react positively to reports that the Chinese Vice Premier met U.S. Treasury Secretary and Trade Representative to discuss trade issues.

Higher crude oil and gold prices will also lift investor sentiment.

On Monday, the benchmark S&P/TSX Composite Index drifted lower, extending losses to a third successive session. The index ended down 66.85 points, or 0.45%, at 14,728.28, after scaling a low of 14,610.18 and a high of 14,795.72 intraday.

In company news, Cenovus Energy Inc. (CVE.TO) announced the company plans to invest between $1.2 billion and $1.4 billion in 2019, with the majority of the budget going to sustain base production at its Foster Creek and Christina Lake oil sands operations. The company said it also plans to complete construction of the Christina Lake phase G expansion.

Enbridge Inc. (ENB.TO) announced the company continues to expect 2018 Discounted Cash Flow (DCF) per share to be in the upper half of its guidance range of $4.15 to $4.45 per share. The 2019 and 2020 mid-point of the projected range of DCF is unchanged from last year at $4.45 per share and $5.00 per share, respectively. Beyond 2020, Enbridge is targeting to achieve annual DCF per share growth in the range of 5%-7%.

MTY Food Group Inc. (MTY.TO) announced today that one of its wholly-owned subsidiaries has signed an agreement to acquire the assets of gourmet burger restaurants chain, South St. Burger, which has 26 franchised and 14 corporate restaurants in operation. The network has generated over $28 million in system sales in the last 12 months.

MTY also announced that one of its wholly-owned subsidiaries has acquired substantially most of the assets of Casa Grecque for a consideration of $22.35 million.

Asian markets ended mixed with investors largely making cautious moves amid U.S.-China trade tensions, Brexit uncertainty and crude oil's slide.

European markets were mostly higher on reports the Chinese Vice Premier Liu, U.S. Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer have discussed trade issues despite a diplomatic row over the arrest of Huawei Technologies Co.'s CFO.

Meanwhile, the U.K. Prime Minister Theresa May, who called off a crunch House of Commons Vote on Brexit, is now set to meet European leaders and EU officials in the hope of clinching a better Brexit deal.

U.S. stock futures are currently higher amid optimism about U.S.-China trade talks.

On the economic front, producer price data for November is due at 8:30 AM ET.

In commodities, crude oil futures for January were rising $0.57, or 1.12%, at $51.57 a barrel, lifted by news that Libya's National Oil Company has declared force majeure on exports from the El Sharara oilfield, which was seized at the weekend by a local militia group.

Natural gas futures for January were down $0.072, or 1.58%, at $4.473 per million btu.

Gold futures for February were gaining $4.30, or 0.34%, at $1,253.70 an ounce.

Silver futures for March were up $0.157, or 1.07%, at $14.762 an ounce, while Copper futures for March were gaining $0.037, or 1.36%, at $2.757 per pound.

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