December 13, 2010 / 1:47 PM / 7 years ago

CANADA STOCKS-TSX set to open higher on rising commodity prices

3 Min Read

Dec 13 (Reuters) - Toronto's main stock index looked set to open higher on Monday, buoyed by rising commodity prices after China held off on raising interest rates over the weekend despite high inflation pressure.

Factors to Watch

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

* U.S. stock index futures were higher after China decided to leave interest rates unchanged. [.N]

* European shares rose by midday, on track to post their sixth straight session of gains, with mining shares boosted by a rally in metals prices as confidence in the economic recovery gathered pace. [.EU]

* Asian markets were largely up, with Nikkei clawed back towards a seven-month high as Chinese shares showed resilience to Beijing's efforts to curb inflation and a softer yen supported exporters.

Commodity Price Moves

* The Thomson Reuters-Jefferies CRB index .CRB, a global commodities benchmark, rose 1.16 percent in early trade.

* Oil rose more than a dollar in line with other commodities after OPEC agreed to keep output targets unchanged despite a surge in heating fuel demand. [O/R]

* Gold edged back up above $1,390 an ounce in Europe as last week's price dip of more than 2 percent brought physical buyers back to the market, with concern over the outlook for the euro zone also lending support. [GOL/]

* Copper hit a new record high, boosted by strong data from top consumer China over the weekend, and supply worries could propel prices even further. [MET/L]

Canadian Stocks to Watch

* Bombardier (BBDb.TO): Russia's rail monopoly is to sell part of its electrical equipment manufacturer Elteza to a unit of the company for 1.9 billion roubles continuing a plan to raise cash for new investments. [ID:nLDE6BC0P9]

* Macquarie Power & Infrastructure Income Fund MPT_u.TO: The company agreed with top Finnish utility Fortum Corp to buy about 33.3 percent stake in its district heating operations in Sweden for about C$100 million. [ID:nSGE6BC09I]

* HudBay Minerals Inc. (HBM.TO): The company said on Monday it expects 2011 gold, copper and zinc production to remain around this year's estimated levels. [ID:nSGE6BC099]

* Brookfield Office Properties BPO.TO: The company, which manages office properties in the United States, Canada and Australia, said on Friday it sold an office building in Washington to the World Bank for $216 million. [ID:nN10295527]

Analyst Recommendations

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

* Le Chateau CTUa.TO price target cut to C$15 from C$17; rating buy at Versant

* Research In Motion RIM.TO rating cut to neutral from outperform at Exane BNP Paribas

* Wild Stream Exploration WSX.V price target raised to C$12.50 from C$11.50; rating buy at Canaccord Genuity

$1= $1 Canadian Reporting by Kishan Nair and Bangalore Newsroom; Editing by Jeffrey Hodgson

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