September 17, 2010 / 12:40 PM / 7 years ago

CANADA STOCKS-TSX set to climb on resources, RIM results

TORONTO, Sept 17 (Reuters) - Toronto’s main stock index was expected to open higher on Friday, buoyed by a jump in commodity prices and investor optimism following strong quarterly earnings from technology bellwether Research in Motion.

FACTORS TO WATCH

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

* U.S. stock index futures rose on Friday as solid reports from technology bellwethers Oracle and Research In Motion put stocks on the verge of breaking through a key level that has stymied investors for months. [.N]

* European shares rose on Friday and are on track to record their third consecutive week of gains, boosted by retailers, led by Carrefour after it unveiled a revamp plan for its hypermarkets. [.EU]

* Asian equities were higher, with Japanese stocks gaining after yen selling intervention brightened the prospects of exporters.

COMMODITY PRICE MOVES

* The Thomson Reuters-Jefferies CRB index .CRB, a global commodities benchmark, rose 0.69 percent in early trade.

* Oil climbs to around $75 a barrel on Friday, boosted by dollar weakness and a hurricane threat, but the anticipated reopening of a major pipeline delivering crude into the United States was expected to cap gains. [O/R]

* Gold leapt to a record high on Friday as a weaker dollar and growing speculation of further quantitative easing by the U.S. Federal Reserve prompted a flurry in investment buying. [GOL/]

* Copper rose to a 4-1/2 month high on Friday, as a falling dollar and reassuring comments from China’s central bank on monetary policy boosted base metals. [MET/L]

CANADIAN STOCKS TO WATCH

* Research In Motion RIM.TO: The BlackBerry maker posted stronger-than-expected second-quarter profit, revenue and shipments on Thursday, defying expectations it would lose more ground to rivals. [ID:nN16189389]

* Alimentation Couche-Tard (ATDb.TO): Casey’s General Stores, facing a $2 billion takeover bid from Alimentation Couche-Tard, said two more proxy advisory services firms have recommended that Casey’s shareholders re-elect a majority of the company’s director nominees. [ID:nSGE68G0EZ]

* Magna International (MG.TO): The Japanese electric car battery maker, GS Yuasa Corp, is in talks with the auto parts maker to produce batteries in Europe, a source said on Friday, in what would be its first foray overseas. [ID:nTOE68G01C]

* Enbridge Inc (ENB.TO) will restart a major oil pipeline carrying up to a third of Canada’s U.S.-bound crude shipments on Friday, eight days after it was shut to stop a leak. [ID:nN16273120]

* The Bank of Nova Scotia (BNS.TO): The Bank plans to continue its policy of trading only for clients in energy markets and not with its own money, according to a company official and sources close to the bank. [ID:nN16257050]

* Gluskin Sheff + Associates Inc. GS.TO: The wealth manager on Thursday posted fourth-quarter results that missed estimates, hurt by lower performance fees. The company also named David Morris as its new CFO, effective Sept. 27. [ID:nSGE68F0KB]

* Mandalay Resources Corp (MND.TO): The mining company on Thursday said it has started mining at its Cerro Bayo silver-gold mine in Chile, which has been under care and maintenance since October 2008. [ID:nSGE68F0K7]

* Transition Therapeutics Inc TTH.TO: The company on Friday said it would stop developing its experimental diabetes treatment after a study of the drug in combination with Eli Lilly’s diabetes therapy failed to show efficacy. [ID:nSGE68G0EA]

ANALYST RECOMMENDATIONS

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

* Dundee raises Research in Motion RIMM.O price target to $70 FROM $65; rating buy.

-- UBS cuts RIM RIMM.O price target to $54 from $65; rating neutral.

* Augusta Resource AZC.TO price target raised to C$5.75 from C$5; rating speculative buy at Canaccord Genuity

* Cirrus Energy CYR.V rating cut to market perform from outperform at Raymond James.

$1=$1.03 Canadian Reporting by Bangalore newsroom and Jennifer Kwan; editing by Jeffrey Hodgson

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