August 5, 2011 / 12:57 PM / 6 years ago

CANADA STOCKS-TSX set to open higher on U.S. job growth

Aug 5 (Reuters) - Toronto’s main stock index was set to open higher on Friday, as a report showing U.S. job growth accelerated more than expected in July caused a snap reversal in investors sentiment.

FACTORS TO WATCH

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

* U.S. stock index futures rallied more than 1 percent after a report showed job growth accelerated more than expected in July as private employers stepped up hiring. [.N] ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ 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, rose 0.15 percent in early trade.

* Brent crude futures extended gains and U.S. crude turned positive in choppy trading after a better-than-expected July nonfarm payrolls report from the United States. [O/R]

* Gold prices held firm on Friday as the dollar fell against the euro after a monthly report showed the U.S. economy created more jobs than expected in July. [GOL/]

CANADIAN STOCKS TO WATCH

* TMX Group (X.TO): The operator of the Toronto Stock Exchange reported higher-than-expected second-quarter earnings on increased revenue from new listings and derivatives trading, along with lower operating expenses. [ID:nL3E7J526L]

* Enbridge Inc. (ENB.TO): The pipeline company second-quarter profit nearly doubled, surpassing analysts’ expectations, helped by higher volumes of oil transported through its pipelines. [ID:nL3E7J52U0]

* GMP Capital Inc. (GMP.TO): The independent investment dealer reported a 79 percent drop in second-quarter profit, hurt by lower levels of underwriting activity and reduced institutional trading volumes. [ID:nL3E7J527D]

* Ritchie Bros Auctioneers Inc. (RBA.TO): The industrial auctioneer reported a 3 percent rise in net profit, driven by higher gross auction proceeds. [ID:nL3E7J52WW]

* Sierra Wireless (SW.TO): The mobile modem maker reported a narrower-than-expected loss in second-quarter, and said it expects third-quarter revenue to improve as it launches new products for Canada’s expanding 4G network. [ID:nL3E7J460N]

* Magna International (MG.TO): The auto-parts maker posted a 4 percent drop in second-quarter profit as a result of higher commodity costs and weak performance at its European operations. [ID:nL3E7J52DB]

* Primaris Retail Real Estate Investment Trust PMZ_u.TO: The REIT posted lower second-quarter funds from operations, hurt by a one-time loss on its convertible debentures. [ID:nL3E7J45YS]

* Denison Mines (DML.TO): The uranium producer reported a second-quarter loss on Thursday as uranium sales fell sharply in the aftermath of the nuclear crisis in Japan. [ID:nN1E7731YV]

* Chorus Aviation Inc. CHRa.TO CHRb.TO: The company posted a lower second-quarter profit, hurt mainly by a rise in operating costs. [ID:nL3E7J4638]

* Enerplus Corp. (ERF.TO): The oil and gas company posted a higher second-quarter profit, but cut its production outlook for the year, hurt by unusually wet weather at some of its properties. [ID:nL3E7J52A1]

ANALYST RECOMMENDATIONS

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

* Air Canada ACa.TO price target cut to C$2.50 from C$3; rating sector perform at National Bank

* Gabriel Resources Ltd (GBU.TO) coverage started with sector performer and price target of C$8.50 at CIBC

* Great West Lifeco Inc (GWO.TO) rating raised to sector performer from sector underperformer at CIBC

* Parkland Fuel Corp (PKI.TO) rating raised to outperform from sector perform at National Bank

* Yellow Media Inc YLO.TO price target cut to C$0.80 from C$1.50; rating underperform at National Bank

$1= $0.98 Canadian Reporting by Shrutee Sarkar; 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