TORONTO, Jan 13 (Reuters) - Toronto’s main stock index could open lower on Wednesday alongside falling oil and copper prices as investors worried that signs of tighter monetary policy in China could stem demand for Canada’s natural resources.
But losses in the Toronto Stock Exchange’s S&P/TSX composite index .GSPTSE could be partly offset by the impact of higher gold prices on producers as the U.S. dollar weakened versus the euro.
U.S. futures also pointed to a slightly higher open. [.N]
Canadian stocks finished more than 1 percent lower on Tuesday as resource prices came under pressure on news that China was taking steps to cool its economy.
Here is some of the news that may affect the market:
Oil fell to its lowest level this year, dipping below $80 a barrel after an industry report showed rising U.S. distillate inventories, despite the severe northern hemisphere winter. [O/R]
COPPER AT 2-WEEK LOW
Copper hit a two-week low as investors worried that the signs of tighter monetary policy in China could stem demand from the world’s top consumer of industrial metals. [MET/L]
Gold rose in Europe as the dollar weakened versus the euro, with the precious metal recovering some of the previous day’s 2 percent dip, though it remained vulnerable to weakness in other commodities. [GOL/]
Specialty TV and radio broadcaster Corus Entertainment (CJRb.TO) said that quarterly profit rose 81 percent as advertising revenue rebounded. [nN13218120]
Canadian auto parts maker Magna International Inc MGa.TO (MGA.N) forecast 2010 sales of $19.5 billion to $20.5 billion and said it would spend $750 million to $800 million for fixed assets during the year. [ID:nSGE60C0CV]
Canadian cable and telecommunications company Cogeco Inc (CGO.TO) said its fiscal 2010 first-quarter earnings rose, helped by growth in its cable business. [ID:nN13218325]
Maxam, a Vancouver-based private equity firm, said late on Tuesday it upped a hostile, all-cash takeover bid for CA Bancorp BKP.TO by 19 percent, valuing the small Canadian merchant bank at about C$39 million ($37.9 million). [ID:nN12208850]
Canada’s Bellatrix Exploration Ltd (BXE.TO) said it raised its 2010 capital expenditure budget by about 88 percent to C$75 million. [ID:nSGE60B0L7]
Yamana Gold (YRI.TO) on Tuesday reported fourth-quarter production of 325,300 gold equivalent ounces and said its production from continuing operations rose 8 percent from the prior period. [ID:nSGE60B0KV]
Canada’s Premier Gold Mines Ltd (PG.TO) said it will offer C$32 million in common shares to fund ongoing exploration and development activities at its Red Lake gold projects in Canada, and for working capital requirements. [ID:nSGE60C0FY]
Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]
* UBS raises Centerra Gold Inc (CG.TO) price target to C$15.50 from C$14.75; rating “buy
* UBS raises Alamos Gold Inc (AGI.TO) price target to C$15.50 from C$15; rating “buy”
* Scotia raises Canadian National Railway Co (CNR.TO) price target to C$66.50 from C$65.25
$1=$1.03 Canadian Reporting by Claire Sibonney; Editing by Jeffrey Hodgson