November 19, 2009 / 1:03 PM / in 8 years

CANADA STOCKS-TSX may open lower as commodities drop

TORONTO, Nov 19 (Reuters) - Toronto’s main stock market index could open lower on Thursday as weak gold and energy prices constrain the resource-laden market.

The falling commodity prices, coupled with a stronger U.S. dollar, will likely cap the Toronto Stock Exchange’s S&P/TSX composite index’s .GSPTSE gains at four sessions.

The TSX finished higher on Wednesday, closing at 11,652.69, following early buying that sent the index to a 13-month high. [nN18132612]

Investors will also take time to digest a slew of Canadian data including wholesale trade and leading indicators due out before the market open.

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

U.S. CRUDE LOWER

U.S. crude futures drifted lower to below $79 a barrel on Thursday as gains in the dollar weighed on prices and doubts about the pace of demand recovery in the United States dampened sentiment. [nNSP484907]

GOLD RETREATS

Gold prices retreated on Thursday from the record high above $1,150 an ounce reached the previous session, reacting to a rise in the dollar .DXY as investors took profits in higher-yielding currencies. [nLJ345071]

CANADA‘S ECONOMY

Canada’s economy has not yet recovered from recession so the government will follow through on the second phase of stimulus spending next year, Finance Minister Jim Flaherty said on Wednesday. [nN18127312]

CF INDUSTRIES

About 62 percent of CF Industries’ CF.N shares have been tendered in favor of Agrium Inc’s AGU.TO hostile takeover bid, according to a source familiar with the matter, but a different vote later in the week is more likely to determine the outcome of the drawn-out takeover battle. [nN19158693]

MANULIFE FINANCIAL

Canada’s top life insurer Manulife Financial Corp MFC.TO MFC.TO said late on Wednesday it planned to issue C$2.5 billion ($2.4 billion) in equity and reach the fortress level of capital it has sought all year. [nN18483228]

AGNICO EAGLE

Canada’s Agnico Eagle mining company has started work at its Pinos Altos gold and silver project in northern Mexico with an investment of $240 million, Mexico’s economy ministry said on Wednesday. [nN18508045]

TELUS SUES ROGERS COMMUNICATION

Telus Corp T.TO, Canada’s No. 2 phone company, sued Rogers Communications Inc RCIb.TO for allegedly misleading Canadians with advertising that claims Rogers’ wireless network is the fastest and most reliable in the country. [nN18132202]

TRANSCANADA CORP

TransCanada Corp TRP.TO, the country’s largest pipeline company, said on Wednesday it expects to increase tolls sharply next year on its main natural gas system from Western Canada. [nN18106631]

RESEARCH ROUNDUP

Following is a summary of research actions on Canadian companies reported by Reuters on Thursday. [RCH/CA]

* Blackmont raises targets on Canadian banks

* Desjardins raises Metro Inc MRUa.TO price target to C$44 from C$42; Rating Buy

* Genuity cuts Manulife Financial MFC.TO price target to C$22 from C$23; Rating Hold ($1=$1.06 Canadian) (Reporting by Scott Anderson; Editing by Padraic Cassidy)

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