November 17, 2011 / 1:18 PM / 6 years ago

TSX may open lower as euro borrowing costs climb

Nov 17 (Reuters) - Canadian stocks looked set to open lower as rising yields on euro zone sovereign bonds fanned concerns that the currency bloc’s debt crisis would keep spreading, pushing the region into recession.

FACTORS TO WATCH

* Canadian equity futures <0#SXF:> pointed to a lower open.

* U.S. stock index futures fell after a late selloff in the previous session as investors kept a close eye on rising yields of euro zone debt. [.N]

* European shares fell to a five-week low in choppy trade as rising bond yields in the euro zone raised concerns the region’s two-year debt crisis was deepening and could threaten the global economic recovery. [.EU] ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ To receive an early e-mail of Reuters Morning News Call - Canada -- a preview of market moving news -- Thomson Reuters subscribers can register at [CA/MNC] ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

COMMODITY PRICE MOVES

* The Thomson Reuters-Jefferies CRB index .CRB, a global commodities benchmark, fell 0.76 percent in early trade.

* Brent crude tumbled $3 to $108.88 a barrel on worries that the European debt crisis could spread to some of the region’s largest economies. [O/R]

* Gold fell more than 1 percent to a session low of $1,743.14 an ounce as the dollar rose against the euro. [GOL/]

* Copper fell to its lowest in around a week as the dollar rose and the euro zone debt crisis ground on, fuelling concerns that turbulence is spreading to other regions and will start hurting demand for industrial metals. [MET/L]

CANADIAN STOCKS TO WATCH

* SXC Health Solutions Corp. SXC.TO: The company said it will buy privately-held company HealthTrans LLC for $250 million in cash to expand its healthcare benefit management portfolio. [ID:nL3E7MH1W3]

* Thompson Creek Metals Co. Inc. TCM.TO: The metal miner said on Wednesday that it expects to meet its 2011 forecasts for molybdenum production, but its output should fall in 2012 and costs are expected to rise. [ID:nN1E7AF1UJ]

ANALYST RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]

* Anderson Energy Ltd AXL.TO price target raised to C$0.95 from C$0.85 at CIBC

* Bank of Montreal (BMO.TO) price target cut by C$4 to C$61 at KBW

* Bank of Nova Scotia (BNS.TO) price target cut by C$3 to C$57 at KBW

* Capstone Infrastructure Corp CSE.TO price target cut to C$8.50 from C$9 at CIBC

* Coastal Energy CEN.TO price target cut to C$19 from C$19.50 at CIBC

* Enbridge Inc (ENB.TO) price target raised to C$36 from C$35 at National Bank ($1= $1.03 Canadian) (Reporting by Rahul Karunakar)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below