April 25, 2012 / 12:37 PM / 5 years ago

CANADA STOCKS-TSX seen up on earnings, Fed eyed

4 Min Read

April 25 (Reuters) - Toronto's main stock index looked set to open higher on Wednesday on optimism over a string of strong earnings. Markets will watch for the outcome of Federal Open Market Committee's meeting, while the head of the Bank of Canada testifies for a second successive day.

Top Stories

* The euro hit a three-week high and global shares gained before the Fed policy statement, buoyed by some better-than-expected corporate earnings and signs of improved sentiment in the euro zone debt market. [

* Canada's largest natural gas producer Encana Corp's first-quarter operating profit rose, as it realized higher prices for natural gas, helped by its hedging program.

* Nexen Inc's first-quarter profit fell 15 percent, hurt by lower production, but the Canadian oil company maintained its second-quarter output forecast as it looks to improve production from a handful of big-ticket projects. ID:nL3E8FP6VG]

* Apple Inc's quarterly profit almost doubled after a jump in iPhone sales, particularly for the greater China region, blowing past Wall Street expectations and soothing fears the device was past its best days for sharp growth.

* Boeing Co., the world's largest aerospace and defense company, posted a higher quarterly net profit, helped by an increase in commercial airplane deliveries.

Market Snapshot

* Canada stock futures traded up 0.51 percent

* U.S. stock futures , , were up around 0.40 percent

* European shares, were up

Commodity Price Moves

* Thomson Reuters-Jeffries CRB Index : 302.93; rose 0.54 percent

* Gold Futures : $1640.1; fell -0.18 percent

* US Crude : $104.36; rose 0.78 percent

* Brent Crude : $119.03; rose 0.74 percent

* LME 3-month Copper : $8205; rose 0.67 percent

Canadian Stocks to Watch

* Rogers Communications Inc. : The mobile phone company said on Tuesday its quarterly profit dropped by a steeper-than-expected 16 percent as rising competition hurt its cable and wireless divisions. Adjusted net profit fell to C$356 million, or 67 Canadian cents a share, compared with C$423 million, or 76 Canadian cents, a year earlier.

* Cenovus Energy Inc. : The independent oil producer reported a nine-fold jump in first-quarter profit on higher production. Net income rose to C$426 million, or 56 Canadian cents per share, from C$47 million, or 6 Canadian cents per share, a year ago.

* CGI Group Inc, a technology outsourcing and consulting company, reported a 11 percent fall in second-quarter profit on lower margins.

* NiMin Energy Corp. : The oil and gas producer said it would dissolve itself and sell its assets and use the proceeds to clear its debts, ending a four-month-old strategic review process that started in November. It said it would sell its assets in Wyoming's Big Horn Basin to BreitBurn Energy Partners LP for about $98 million.

Analyst Recommendations

Following is a summary of research actions on Canadian companies reported by Reuters.

* FirstService Corp. : CIBC cuts price target to C$37 from C$40

* Genworth MI Canada Inc. : Canaccord Genuity cuts price target to C$26.50 from C$28

* Miranda Tech : National Bank Financial cuts to sector perform from outperform

* PetroMagdalena Energy Corp. : CIBC cuts price target to C$1.75 from C$2.50

* Rogers Communications : Canaccord Genuity cuts price target to C$37 from C$39

On the Calendar

* Major U.S. events and data includes Durable Goods, Building permits and FOMC rate decision

* Bank of Canada Governor Mark Carney testifies to a Senate Committee at 4:30 p.m. (2030 GMT)

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