May 26 (Reuters) - Toronto’s main stock index is expected to open higher on Wednesday after Bank of Montreal, Canada’s fourth-largest bank, said profit doubled and as commodity prices rose.
Wall Street is also poised for a higher open, a day after markets clawed back from a steep sell-off and as U.S. Treasury Secretary Timothy Geithner flew to Europe to press for united action to tackle the region’s deepening debt crisis. [.N]
European equities bounced back from nine-month lows in the previous session, with financials and miners among the top gainers.
Asian stocks rallied from nine-month lows.
Here is some news that could affect stock prices:
Bank of Montreal (BMO.TO) said on Wednesday profit doubled in the second quarter as wealth management and capital markets surged and the bank set aside less money to cover bad loans. [ID:nN25146871]
Oil rose by almost 3 percent on Wednesday to climb back above $70 a barrel after a U.S. industry report showed a steep drop in gasoline stockpiles in the world’s largest energy consumer. [O/R]
Copper bounced on Wednesday from the previous session’s steep decline, but gains looked fragile as the euro zone debt crisis hit European demand outlook. [MET/L]
Gold rose more than 1 percent in Europe on Wednesday as volatility in currency markets and fears over the outlook for the euro prompted gold buying as a haven from risk. [GOL/]
North American Petroleum Corp USA, a unit of Canadian exploration and production company Petroflow Energy Ltd PEF.TO, filed for Chapter 11 bankruptcy protection, as a drilling dispute with its major client Enterra Energy Corp choked the company’s liquidity and its ability to service its debt, court filings show. [ID:nSGE64P06E]
CanElson Drilling Inc CDI.V said on Tuesday it would acquire Totem Drilling Ltd, a private drilling rig operator, for C$40 million ($37.7 million) in cash and stock, in a bid to expand into the oil-rich Bakken shale. [ID:nSGE64O0KD]
KWG Resources Inc KWG.V said on Wednesday it has entered into a binding letter agreement regarding proposed merger with Spider Resources Inc. [ID:nWNAB3718]
Petroleum and natural gas company Arcan Resources Ltd ARN.V on Tuesday posted a surprise first-quarter loss, partly hurt by higher royalties, and operating and transportation expenses. [ID:nSGE64O0JC]
An experimental drug from Theratechnologies Inc (TH.TO) reduced abdominal fat in HIV patients, but safety concerns must be weighed, U.S. reviewers said. [ID:nN25209427]
Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]
Note: All values in RESEARCH ROUNDUP in Canadian currency, unless otherwise stated.
* Detour Gold Corp (DGC.TO) price target raised to $26.25 from $23; rating outperform at Raymond James
* Hana Mining Ltd HMG.V target price cut to $3.50 from $3.75; rating strong buy at Raymond James
* Theratechnologies Inc (TH.TO) price target cut to $8 from $9.75; buy rating at Versant
$1=1.06 Canadian Reporting by Bangalore newsroom, editing by Jeffrey Hodgson