July 16 (Reuters) - Toronto’s main stock index could open lower on Friday as weaker commodity prices and fears that the global economic recovery is slowing offset unexpectedly strong earnings from some U.S. companies.
U.S. stock index futures were little changed on Friday after General Electric Co’s (GE.N) and Bank of America’s (BAC.N) profits topped expectations but revenues declined, underscoring corporate America’s struggles against headwinds in the economic recovery. [.N]
Canadian equity futures pointed to a slightly lower open. <0#SXF:>
European markets inched higher with banking stocks reversing early losses. Asian shares were mixed.
Here is some news that could affect stock prices:
The Reuters-Jefferies CRB index .CRB, a global commodities benchmark, fell 0.12 percent in early trade.
Copper prices eased on Friday as worries about economic growth and demand dominated market sentiment, but a softer dollar was expected to limit losses. [MET/L]
Gold eased a touch in Europe on Friday, under pressure from lacklustre investment and jewellery demand over the seasonally soft summer months, with a further outflow from the world’s largest gold ETF undermining sentiment. [GOL/]
Canada’s dollar fell against its U.S. counterpart on Friday, as growing concerns about the strength of the U.S. economic recovery and the pace of growth in China dampened demand for commodity-based currencies. [CAD/]
Canadian stocks to watch include:
PLATINUM GROUP METALS LTD (PTM.TO)
Mineral explorer Platinum Group Metals Ltd (PTM.TO) said Thursday it was exploring strategic alternatives including sale of the company. [ID:nSGE66E0LF]
Two biopharmaceutical companies - Tekmira Pharmaceuticals Corp TKM.TO and AVI BioPharma Inc AVII.O - won contracts on Thursday with the U.S. Department of Defense for the development of treatments for hemorrhagic fever. [ID:nN15170828]
Teck Resources TCKb.TO said on Thursday that no conclusion had been reached on the cause of an explosion at its mine last month, and it did not have an update on production guidance. [ID:nSGE66E0M5]
Terra Energy Corp TT.TO said on Thursday it will buy substantially all of Fortress Energy’s FEI.TO oil and gas properties, including the Square Creek assets in Western Canada, taking its total current production to nearly 8,000 barrels of oil equivalent per day (boe/d). [ID:nSGE66E0LR]
Canada’s Uranium One UUU.TO said its board and a panel of independent directors approved the sale of a controlling stake in the company to Russian state-owned miner ARMZ in exchange for stakes in two mines in southern Kazakhstan. [ID:nSGE66E0LP]
Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]
* Astral Media Inc ACMa.TO price target cut to C$44 from C$45; rating outperform at RBC
* Bankers Petroleum Ltd BNK.TO price target cut to C$10 from C$10.50; rating outperform at BMO
* Greystar Resources GSL.TO price target cut to C$5.50 from C$6.50; rating sector perform at RBC
* Opti Canada Inc OPC.TO rating cut to market perform from outperform at BMO
* Nexen Inc NXY.TO rating cut to market perform from outperform at BMO
* Thompson Creek Metals Co TCM.TO price target cut to C$17.20 from C$20.40 at Desjardins
Reporting by Bangalore newsroom, editing by Bhaswati Mukhopadhyay and Jeffrey Hodgson