October 24, 2011 / 12:47 PM / 6 years ago

CANADA STOCKS-TSX may rise with commodities after China data

Oct 24 (Reuters) - Toronto’s resource heavy main stock index looked set to open slightly higher on Monday on rising commodity prices after data showed China’s vast manufacturing sector picked up moderately in October.

FACTORS TO WATCH

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

* U.S. stock index futures edged lower after the S&P 500 posted its third straight week of gains as investors had doubts European policymakers would come up with an agreement to fix the region’s debt crisis. [.N]

* European shares turned negative as bank shares pared earlier session gains as difference remained between policymakers over the size of losses private bondholders of Greek government bonds will have to accept. [.EU]

* Markets in Asia were up, with Hong Kong shares surging to their best day in two weeks. ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ 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 0.62 percent in early trade.

* Brent crude oil rose above $110 a barrel after stronger Chinese manufacturing data suggested the world economy would avoid a double-dip recession, supporting fuel consumption and outweighing fears over weak European data. [O/R]

* Gold rose more than 1 percent, as European leaders edged towards a solid plan to resolve the euro zone debt crisis and signs that China’s economy is in better shape than feared. [GOL/]

* Copper rose more than 4 percent as encouraging manufacturing data from top metals consumer China and hopes that European leaders may soon strike a deal to solve the debt crisis boosted investor confidence. [MET/L]

CANADIAN STOCKS TO WATCH

* Enbridge Inc. (ENB.TO): The company said on Friday it would ration space on three lines on its massive export system for November due to high nominations and capacity restrictions. [ID:nWNAB4516]

* Silver Standard Resources Inc.SSO.TO: The company said it resumed silver concentrate sales on a spot basis at its Pirquitas mill in Argentina, which was shut down in September due to a gearbox failure. [ID: nL3E7LO1OQ]

* Mercator Minerals Ltd. ML.TO: The company forecast copper output from its Mineral Park Mine in Arizona at an average 51 million pounds annually for the next five years, after completing the second stage of the site’s expansion project. [ID:nL3E7LO21O]

* Bannerman Resources BAN.TO: The company said on Monday it would focus on discussions with other parties after its board concluded it was unlikely to know whether Chinese firm Hanlong could enter into a binding acquisition agreement within a reasonable time frame.[ID:nS9E7LB00Q]

* Dynacor Gold Mines Inc. DNG.TO: The company will build its second gold-ore processing facility in Peru with a capacity of up to 430 tonnes per day. [ID:nL3E7LO1XF]

ANALYST RECOMMENDATIONS

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

* Baytex Energy Corp (BTE.TO) coverage started with outperform rating at National Bank

* Bonavista Energy Corp (BNP.TO) coverage started with outperform rating at National Bank

* Crescent Point Energy Corp (CPG.TO) coverage started with outperform rating at National Bank

* Industrial Alliance Group (IAG.TO) price target cut to C$41 from C$43 at National Bank

* NAL Energy Corp NAE.TO coverage started with outperform rating at National Bank

* Penn West PWT.TO coverage started with outperform rating at National Bank

* Pengrowth Energy (PGF.TO) coverage started with outperform rating at National Bank

* Perpetual Energy (PMT.TO) coverage started with underperform rating at National Bank

* Precision Drilling (PD.TO) price target cut to C$15.00 from C$15.50 at CIBC

* Royal Gold RGL.TO rating raised to outperform from sector perform at National Bank

* Timmins Gold TMM.TO price target cut to C$3.90 from C$4.10; rating outperform at National Bank

* Transglobe Apartment REIT TGA_u.TO price target raised to C$$13.00 from C$12.50 at CIBC

* Vermilion Energy (VET.TO) coverage started with sector perform rating at National Bank

$1= $1.00 Canadian Reporting By Chandra Ramarathnam; 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