April 27, 2012 / 12:17 PM / 5 years ago

CANADA STOCKS-TSX may open lower as commodities weigh

April 27 (Reuters) - Canada’s main stock index looked set to open lower on Friday as commodity prices fell and fears over the health of the European economy intensified.

With no Canadian economic data on the calendar, investors might take cues from the first estimate of U.S. first-quarter gross domestic product. The data is expected to show that the world’s largest economy grew at a 2.5 percent annual rate during the first three months of the year, according to a Reuters poll.

TOP STORIES

* Iamgold Corp agreed to buy Trelawney Mining and Exploration Inc for C$585.3 million in cash, to get access to the Cote Lake gold deposit in northern Ontario.

* Italy’s borrowing costs rose to 5.84 percent at a benchmark 10-year bond auction on Friday, their highest level since January, after a credit ratings cut for Spain overnight added to markets’ concerns about the debt of weaker euro zone countries.

* Imax Corp posted a net profit for the first quarter on a slew of blockbuster releases, as the Canadian company continued to expand its global footprint.

* Procter & Gamble Co lowered its profit expectations for the year on Friday as it works on its new restructuring plan and continues to feel some pressure from higher commodity costs.

* Canadian gold miner Agnico-Eagle Mines Ltd reported a 73 percent increase in its quarterly profit on Thursday, driven largely by gains in the price of bullion.

MARKET SNAPSHOT

* Canada stock futures traded down 0.12 percent

* U.S. stock futures , , were up around 0.09 percent

* European shares, were up

COMMODITY PRICE MOVES

* Thomson Reuters-Jeffries CRB Index : 303.02; fell -0.09 percent

* Gold Futures : $1654.8; fell -0.29 percent

* US Crude : $104.44; fell -0.11 percent

* Brent Crude : $119.84; fell -0.07 percent

* LME 3-month Copper : $8370; rose 0.6 percent

CANADIAN STOCKS TO WATCH

* Pacific Rubiales Energy Corp. : Oil and gas company BPZ Resources Inc said it formed a joint venture with the company to develop and explore an offshore block in Peru.

* Air Canada : The airline warned on Thursday that its first-quarter results would be hurt by a C$120 million charge related to the creditor protection filing of its former maintenance unit Aveos.

* Inmet Mining Corp. : The base metal miner reported a 62 percent increase in quarterly profit on Thursday as higher copper production outweighed a drop in zinc output and lower metal prices.

* NiMin Energy Corp. : The oil and gas explorer said it would sell its assets in the San Joaquin Basin to Southern San Joaquin Production LLC for about $27 million in cash.

* Progressive Waste Solutions : The company’s quarterly profit fell, hurt by lower recycled fiber prices. Net income fell to $22.1 million, or 19 cents per share, from $23 million, or 19 cents per share, a year ago.

ANALYST RECOMMENDATIONS

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

* Air Canada : Canaccord Genuity raises to C$6.50 from C$5.25, rating buy

* Exco Technologies : Canaccord Genuity raises price target to C$6.25 from C$5.75

* Intact Financial : NBF cuts price target to C$70 from C$71

* Linamar : CIBC raises price target to C$25 from C$24.50, rating sector performer

* Lundin Mining : Canaccord Genuity ups price target to C$6.50 from C$6, rating buy

* Shoppers Drug Mart : CIBC raises price target to C$44 from C$43

* TransAlta : NBF cuts price target to C$16.50 from C$19, rating underperform; CIBC cuts price target to C$17.50 from C$21;rating sector underperformer

* TransForce : NBF raises to outperform from sector perform; NBF raises price target to C$22 from C$19.50

ON THE CALENDAR

* Major U.S. events and data includes Real GDP and Core PCE

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