October 31, 2011 / 12:12 PM / 6 years ago

TSX may open lower on weak commodity prices

3 Min Read

Oct 31 (Reuters) - Toronto's main stock index looked set to open lower on Monday, hurt by falling commodity prices, after Japan's intervention in the currency market triggered a spike in the U.S dollar.

Factors to Watch

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

* U.S. stock index futures fell in lackluster volume, following four weeks of equities gains, as a spike in the U.S. dollar weighed on commodity prices and bids on riskier assets dried up. [.N]

* European shares fell early as banks gave up some of last week's strong gains, and with miners hurt by falling metals prices after Japan intervened to stem the yen's rise against the dollar. [.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 0.63 percent in early trade.

* Oil prices eased lower, with Brent slipping below $110, as the dollar rose against the yen following the Japanese intervention [O/R]

* Gold fell by more than 1 percent, following its strongest weekly performance in a month, after Japan's intervention in the currency market triggered a spike in the dollar, which was already benefiting from ongoing concern about the euro zone. [GOL/]

* Copper slipped as the dollar rose and enthusiasm for Europe's debt deal gave way to realism that the regions' economic problems are far from over, though the metal remained on track for its biggest monthly rise since last December. [MET/L]

Canadian Stocks to Watch

* TMX Group (X.TO): The owner of Toronto Stock Exchange said late on Sunday that it unanimously supports Maple Group's C$3.8 billion buyout proposal and urged its shareholders to vote for the deal. [ID:nL4E7LV0LA]

* AltaGas Ltd (ALA.TO): The company agreed to acquire Pacific Northern Gas Ltd PNG.TO for about C$230 million in cash. [ID:nL4E7LV20K]

* Macdonald Dettwiler and Associates Ltd. (MDA.TO): The satellite and data distribution company posted higher quarterly profit, helped by robust bookings in its U.S. operations and medical robotics business. [ID:nL4E7LS2Z8]

* Vitran Corp. VTN.TO: The trucking company posted a quarterly loss, hurt by higher workers' compensation and healthcare costs in its less-than-truckload segment in the United States. [ID:nL4E7LV1X9]

Analyst Recommendations

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

* Agnico Eagle Mines (AEM.TO) price target cut to $60 from $91 at CIBC

* Postmedia Network Canada PNCa.TO price target to C$10.25 from C$10.50 at National Bank

* ShaMaran Petroleum SNM.V price target cut to C$1.15 from C$1.45 at Canaccord Genuity

$1= $1.00 Canadian Reporting by Karan Khemani

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