April 21, 2009 / 12:21 PM / 8 years ago

CANADA STOCKS-TSX could open down on weak U.S. profits

4 Min Read

TORONTO, April 21 (Reuters) - Toronto's main stock index could open lower on Tuesday as concern about U.S. corporate earnings weighs on sentiment, but firm commodity prices could help cushion the drop in the resource-heavy index.

The tone could also be influenced by the Bank of Canada's interest rate announcement at 9:00 a.m. (1300 GMT), which will be accompanied by a statement that may mention quantitative or credit easing. [ID:nN16520541] and [ID:nTOR004441]

Concerns about corporate profits in the United States, and the potential for domestic firms to follow with similar gloomy news, were renewed after Bank of New York Mellon Corp (BK.N) and chemical maker Dupont (DD.N) reported lower quarterly profits. [ID:nN21414260] and [ID:nN21442737]

The S&P/TSX composite index .GSPTSE is coming off a skid of 3 percent in Monday's session as investors fled the market given a sharp drop in the price of oil and concerns over the vitality of U.S. banks.

Here is some of the news that may affect the index:

Oil Crawls Firmer After Fall, Under $46

Oil edged firmer, steadying below $46 barrel on Tuesday, pausing after an almost 9 percent fall a day earlier as traders awaited more clues on demand from U.S. economic, corporate and oil inventory data. [ID:nSP465475]

Gold Firms on Haven Appeal, Equities Eyed

Gold rose on Tuesday as fears over the health of the U.S. banking sector boosted its safe-haven appeal, with traders eyeing the stock markets for direction. [ID:nLL15416]

Teck Cominco Reports 30 Pct Drop in q1 Profit

Teck Cominco TCKb.TO said on Tuesday its first-quarter profit fell 30 percent and it cut its capital spending for the year by more than 50 percent as the Canadian miner struggles to cope with a massive debt load. [ID:nBNG474486]

Petrovietnam, Talisman Plan Two New Oilfields

State oil firm Petrovietnam's exploration arm PVEP said on Tuesday a joint venture with Canada's Talisman Energy TLM.TO would start producing crude oil from two offshore fields within two years. [ID:nHAN126812]

Lundin Mining Says Enters Copper Hedges

Lundin Mining (LUN.TO) said on Monday it has forward sold, or hedged, about 40,000 tonnes of copper over the next year to lock in recent gains in the metal's price. [ID:nN20411830]

Cn Rail's Profit Boosted by Toronto Track Sale

Canadian National Railway Co. (CNR.TO) (CNI.N) posted a higher net profit for the first quarter on Monday as special items such as a gain from a track sale helped offset the impact of a weak economy. [ID:nN20537896]

Canada's Omers Says Seeking 'Super Fund' Status

One of Canada's top pension funds, the OMERS Administration Corp, wants government-mandated industry consolidation in the nation's most populous province so it can become a "super fund", able to better compete for investment opportunities globally. [ID:nN20425094]

Canadian Media Companies Square Off Over Fees

Two leading Canadian media companies, Quebec Inc and Rogers Communications Inc, were poles apart on Monday over whether cable television operators should have to pay conventional TV broadcasters a fee to carry their signals. [ID:nN20408817]

Canadian Research: Precision Drilling, Timminco

Following is a list of research on Canadian-listed companies. For more, please see [RCH/CA].

* Raymond James cuts Timminco TIM.TO price target 20 percent to C$2, maintains "market perform" rating.

* Raymond James raises Precision Drilling Trust PD_u.TO rating to "outperform" from "market perform."

* Raymond James resumes coverage of Crew Energy CR.TO with "outperform" rating and C$8 price target.

$1=$1.24 Canadian Reporting by Frank Pingue; Editing by Theodore d'Afflisio

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