CANADA STOCKS-TSX eyes soft start as oil, U.S. stocks sag

Tue Sep 29, 2009 8:07am EDT
 
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 TORONTO, Sept 29 (Reuters) - Toronto's main stock index
could be set for a softer open on Tuesday as weak oil and base
metals prices weigh on the resource-heavy index.
 World stocks steadied on Tuesday as weaker oil prices and
caution following a recent rally prompted investors to lock in
gains and stay on the sidelines [MKTS/GLOB]. U.S. stock index
futures, however, edged lower ahead of data on home prices and
consumer confidence. [.N]
 On Monday, the S&P/TSX composite index .GSPTSE ended the
day with a gain of 126.33 points, or 1.13 percent, at
11,338.72. With Monday's rise, the TSX is now up 51 percent
from March's five-year low.
 Here is some news that could affect the market:
 BANK OF CANADA
 Bank of Canada Governor Mark Carney renewed a warning on
Monday about persistent strength in the Canadian dollar and its
possible effects on returning inflation to the Bank of Canada's
target range. [ID:nN28514256]
 OPEL STATE AID
 The European Union antitrust chief on Tuesday urged EU
countries with Opel plants to present details of their proposed
state aid for the carmaker to the European Commission as soon
as possible. [ID:nLT544267]
 OIL SAGS
 Oil dipped towards $66.50 a barrel on Tuesday as a weak
demand outlook was expected to be reinforced by weekly
inventory data from the United States. [ID:nSP542839]
 GOLD STEADY
 Gold firmed on Tuesday as the market attempted to
consolidate recent bouts of speculative selling, but gains were
limited as the dollar maintained its edge over the euro,
leaving the metal exposed to further falls. [ID:nLT514154]
 NATIONAL BANK OF CANADA GOLD OUTLOOK
 Rebounding stock markets and signs of economic growth mean
the time may have come to abandon gold, among the strongest
assets during the recent recession, National Bank of Canada
(NA.TO: Quote) said on Monday. [ID:nN2894225]
 BASE METALS SOFT
 Copper drifted lower on Tuesday as buying waned in China,
the world's top consumer of the metal, and as trade quietened
ahead of Chinese National Day and Autumn Festival holidays.
[ID:nLT640285]
 CANADA POLITICS
 Canada's minority Conservative government gained the
temporary support of an opposition party on Monday and is
poised to survive a non-confidence motion in Parliament later
this week. [ID:nN2889888]
 CANADA RESEARCH
 Blackmont Capital starts coverage of five intermediate oil
and gas producers including Birchcliff Energy (BIR.TO: Quote) and
Fairborne Energy Trust FEL.TO. [ID:nWNAB3950]
 Barclays raises Nexen Inc NXY.TO price target to C$24
from C$23; rating equal-weight.
 UBS cuts Centerra Gold (CG.TO: Quote) price target to C$9 from
C$9.25; rating buy.
 RBC raises Blackpearl Resources (PXX.TO: Quote) to outperform from
sector perform.
 For more research, please see: [CA-RCH]
 ($1=$1.09 Canadian)
 (Reporting by Jennifer Kwan, Editing by Chizu Nomiyama)