August 27, 2012 / 12:32 PM / 6 years ago

CANADA STOCKS-TSX may open higher, central banks eyed

Aug 27 (Reuters) - Canada’s main stock index looked set to open higher on Monday, tracking European and U.S markets, as investors looked ahead to a gathering of central bankers later this week for clues on what officials might agree to support a sagging global economy.


* The U.S. Federal Reserve should launch a fresh round of monetary stimulus immediately, buying bonds for as long as it takes to produce a steady decline in the jobless rate, a top Fed official said. * German business sentiment dropped for a fourth month in a row in August to reach its lowest since March 2010, driven down by increasing worries about the outlook for exports. * Angela Merkel tried to calm a growing storm over euro zone crisis strategy on Sunday after the Bundesbank likened ECB bond-buying plans to a dangerous drug and a conservative ally of the German leader said Greece should leave the currency bloc by next year. * Samsung Electronics shares slumped 7.5 percent on Monday, wiping more than $12 billion off the South Korean giant’s market value, as a sweeping victory for Apple Inc in a U.S. patent lawsuit raised concerns about its smartphone business. * Canadian gold explorer Inter-Citic Minerals Inc said Western Mining Group Co Ltd has agreed to acquire it for C$250 million in cash to expand its gold mining business. * Spain’s economy contracted by more than previously estimated in 2010, and grew by less than first published in 2011, according to revised data from the National Statistics Institute released on Monday.


* Canada stock futures traded up 0.38 percent

* U.S. stock futures , , were up 0.1 percent to 0.5 percent

* European shares, were up


* Thomson Reuters-Jefferies CRB Index : 308.22; rose 0.71 percent

* Gold futures : $1,667.7; fell 0.13 percent

* US crude : $96.95; rose 0.83 percent

* Brent crude : $114.14; rose 0.48 percent

* LME 3-month copper : $7,640; fell 0.28 percent


* Cameco Corp. : BHP Billiton has agreed to sell a uranium deposit at Yeelirrie, Australia to Cameco Corp for $430 million, as the top global miner sheds assets to help improve returns and shore up cash in a deteriorating commodity market.


Following is a summary of research actions on Canadian companies reported by Reuters.

* Coastal Energy : CIBC ups target to C$22.50 from C$21.50 to reflect the mid-year reserve update, Malaysia risked service contracts and an expanded 2012 capital program

* Detour Gold : CIBC cuts price target to $42 from $45 citing the higher operating cost environment and mining of lower grade ore from the Calcite zone

* Rio Novo Gold : Canaccord Genuity cuts to hold from speculative buy and cuts target to C$0.25 from C$0.90 on uncertainty regarding the economics of the Almas project amid significantly higher capital costs

* RMP Energy Inc. : NBF resumes coverage with outperform and sets price target of C$3, says business strategy remains focused on the Montney oil trend at Waskahigan and Ante Creek that drives confidence

* Yamana Gold : CIBC resumes coverage with sector performer rating and sets a price target of its U.S.-listed shares to $23 following the close of acquisition of Extorre, and its Cerro Moro project


* No major Canadian economic data scheduled for release

* Major U.S. events and data includes Chicago Midwest and Dallas Fed Manufacturing Index

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