TORONTO, Feb 13 (Reuters) - Toronto’s main stock index may rise at the open on Friday, extending gains from the previous session on climbing oil prices and hopes that the U.S. economy will soon have measures in place to pull it from recession.
Focus may be on government news in the U.S. as Congress is expected to pass the $789 billion package of economic stimulus measures, while also on the lookout for further details of a plan to subsidize mortgage payments for troubled homeowners.
The S&P/TSX composite index .GSPTSE rose on Thursday, struggling up from a 1.7 percent drop earlier in the day, boosted partly by strength in the resource-laden materials sector.
Below is some of the news that may affect the market.
Enbridge Inc’s (ENB.TO) fourth-quarter profit rose 6 percent as the company benefited from increased interest in Enbridge Energy Partners and a stronger U.S. dollar, Canada’s No. 2 pipeline company said. [ID:nN13318295]
Gold slipped as fears of financial meltdown receded, while oil rose towards $35 a barrel, snapping a five-day losing streak, after news that the U.S. government was working on a mortgage plan for troubled homeowners helped lift sentiment. [ID:nSP153908] [ID:nLD731540]
* See also: OPEC again cuts 2009 world oil demand forecast [ID:nLD809772]
Telus (T.TO), Canada’s No. 2 telephone company, reported a drop in quarterly profit as it booked fewer tax-related gains and spent more on restructuring, but said wireless subscribers spent more on text messaging and social networking, which helped lift revenue. [ID:nN13515800]
Air Canada ACa.TO reported a quarterly net loss, weighed down by declining passenger revenue and traffic, as the country’s biggest airline suffered the effects of a sharp drop in travel demand due to global economic weakness. [ID:nBNG65958]
* See also: ACE Aviation ACEa.TO posts Q4 net loss
* See also: Transat TRZb.TO, WestJet (WJA.TO) agree to end air transportation agreement [ID:nWNAB2635]
Haemacure Corp said it is seeking financing or sale of the company. It said that without operational changes its cash reserves will be exhausted before equity financing is completed. [ID:nWNAB2587]
Genuity cut price targets on Canada’s three biggest insurers the day after the companies reported weaker quarterly results. [ID:nN12444909]
* Cuts Great-West Life (GWO.TO) co to C$19 from C$22
* Cuts Manulife Financial (MFC.TO) to C$19 from C$23
* Cuts Sun Life Financial (SLF.TO) to C$30 from C$32
Following is a summary of research actions on Canadian companies reported by Reuters. For more, please double click [RCH/CA]
* RBC revises targets on junior Canadian exploration & production companies [ID:nWNAB2602]
* Blackmont, UBS raise Yamana Gold (YRI.TO)
* Canaccord Adams cuts EnCana (ECA.TO) price target
* Haywood, Genuity cuts Nexen NXY.TO price target
* TD Newcrest, Genuity cuts Shoppers Drug Mart SC.TO
$1=$1.23 Canadian Reporting by Ka Yan Ng; Editing by Jeffrey Hodgson