October 5, 2012 / 1:07 PM / 5 years ago

CANADA STOCKS-TSX set to open higher as jobs data fuels optimism

Oct 5 (Reuters) - Canada’s main stock index looked set to open higher on Friday, in line with global markets, as unexpectedly strong North American jobs data supported appetite for riskier assets.

TOP STORIES

* The Canadian economy added a thumping 52,100 jobs in September, almost all of them full-time, defying expectations and bolstering the Bank of Canada’s case for an eventual interest rate rise.

* The U.S. unemployment rate dropped to a near four-year low of 7.8 percent in September, a potential boost to President Barack Obama’s re-election bid.

* The European Central Bank envisions buying large volumes of sovereign bonds for a period of one to two months once its “OMT” program is launched, but would then suspend purchases during an assessment period, senior central bank sources told Reuters.

* Samsung Electronics reported a record quarterly profit of $7.3 billion, nearly double last year’s figure, as strong sales of high-end TVs and Galaxy smartphones more than offset reduced orders for chips and screens from Apple Inc, its main rival and leading customer.

MARKET SNAPSHOT

* Canada stock futures traded up 0.3 percent

* U.S. stock futures , , were up around 0.2 percent to 0.2 percent

* European shares, were up

ANALYST RECOMMENDATIONS

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

* Penn West Exploration Ltd. : NBF cuts to sector perform from outperform and cuts target to C$15 from C$18, cites the company’s persisting operational challenges and uncertain growth potential

* Raging River Exploration Inc. : NBF raises price target to C$4 from C$3.50 and Canaccord Genuity raises target to C$3.65 from C$3.25 after the company reported third-quarter production and raised its full year production and capital expenditure estimates

* Richelieu Hardware Ltd. : NBF raises price target to C$38 from C$36.50 citing strong third-quarter results

* TMX Group Ltd. : NBF cuts to sector perform from outperform says third-quarter trading volumes were weaker than expected, equity financings likely to moderate from third-quarter levels

ON THE CALENDAR

* Major Canadian economic data includes employment and building permits

* Major U.S. events and data includes non-farm payrolls, consumer credit and ECRI weekly index

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