TORONTO, May 26 (Reuters) - Toronto’s main stock index is poised to fall at the open as slipping oil prices and the start of quarterly reports from Canada’s big banks were seen driving the market on Tuesday.
The TSX may also take cues from world stocks, which fell on Tuesday with Asian shares leading the way as tension about North Korean nuclear tests added to questions over the global economic outlook. Wall Street also looked set to open lower. [MKTS/GLOB]
On Monday, the S&P/TSX composite index .GSPTSE closed up 76.08 points, or 0.76 percent, at 10,069.50, in a session marked by a narrow range in quiet trade.
Here is some of the news that may affect the market.
Canadian banks are set to report another profitable quarter this week, defying global trends, as a market recovery early in the year offsets rising loan losses and thin income from interest and fees. [ID:nN22381048]
* Bank of Montreal (BMO.TO) kicked off the set on Tuesday, posting a 44 percent drop in quarterly profit. [ID:nN26473895]
* See also: FACTBOX-Canadian banks 2nd-quarter earnings forecasts [ID:nN22511243]
* Genuity raises Canadian Western Bank (CWB.TO) price target to C$18 from C$13; raises Laurentian Bank of Canada LB.TO price target to C$35 from C$29 [ID:nWNAB3215]
Oil CLc1 fell, pressured partly by a firmer U.S. dollar and expectations an OPEC meeting later this week would keep the producer group’s output unchanged. [ID:nSYD496746]
* See also: POLL-Oil to average over $52 a barrel in 2009 [ID:nLP718411]
Gold slipped in Europe as the U.S. dollar bounced back against the euro after last week’s losses, curbing interest in the metal as an alternative asset. [ID:nLQ684638]
* Copper down with shares, demand jitters persist [ID:nLQ266280]
* Vale Inco Sudbury workers OK strike mandate [ID:nN25538920]
Canada’s budget deficit will be “substantially more” than the C$33.7 billion forecast in January because the economic slowdown is sapping tax revenue, Finance Minister Jim Flaherty warned on Monday. [ID:nN25449361]
Following is a summary of research actions on Canadian companies reported by Reuters on Tuesday. [RCH/CA]
* Desjardins cuts Corriente Resources CTQ.TO to sell from buy following significant share price appreciation
* Raymond James cuts Norbord NBD.TO, West Fraser (WFT.TO) to underperform from market perform
* Genuity raises price targets on Canadian REITs [ID:nWNAB3217]
$1=$1.13 Canadian Reporting by Ka Yan Ng, Editing by Chizu Nomiyama