September 27, 2013 / 12:31 PM / in 4 years

CANADA STOCKS-TSX may open lower; hurt by U.S. budget worries

Sept 27 (Reuters) - Canadian stocks looked set to open lower on Friday, with investors worried about the risk that a U.S. budget showdown will shut down the federal government and potentially lead to a debt default next month.

Shares of BlackBerry Ltd were being closely watched after the smartphone maker, as previously warned, reported a nearly $1 billion quarterly loss on Friday. The stock was up slightly in pre-market trade.

TOP STORIES

* U.S. House of Representatives Republicans on Thursday refused to give in to President Barack Obama’s demand for straightforward bills to run the government beyond Sept. 30 and to increase borrowing authority to avoid a historic default.

* Optimism about the euro zone’s economy brightened for the fifth month running and hit a 2-year high in September, adding to evidence that a recovery is underway.

* Private equity firm KKR & Co said it will initially pay about 165 billion yen for Panasonic Corp’s healthcare unit, in what could be the largest buyout deal in Asia year to date.

* J.C. Penney Co Inc will raise up to $932 million from a share offering of 96.6 million shares at $9.65 each.

MARKET SNAPSHOT

* Canada stock futures traded down 0.24 percent

* U.S. stock futures , , were down around 0.37 percent and 0.40 percent

* European shares, were down

COMMODITY PRICE MOVES

* Thomson Reuters-Jefferies CRB Index : 287.47; rose 0.05 percent

* Gold futures : $1,339.5; rose 1.2 percent

* US crude : $102.91; fell 0.12 percent

* Brent crude : $108.82; fell 0.36 percent

* LME 3-month copper : $7,294.5; rose 0.6 percent

CANADIAN STOCKS TO WATCH

* Enbridge Inc : The pipeline company said on Thursday it will build and operate a new 40,000 barrel per day line from the Japan Canada Oil Sands Ltd Hangingstone oil sands project in northern Alberta to Enbridge’s Cheecham terminal.

* Ithaca Energy Inc : The North Sea oil and gas operator said CEO Iain McKendrick was stepping down due to personal reasons.

ANALYSTS’ RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters.

* Avigilon Corp : NBF raises price target to C$22 from C$20, says the company’s new products, new regions, new sales reps and expanding relationships are positive catalysts.

* Sirius XM Canada Holdings Inc : RBC raises price target to $9.50 from $8.50 on higher growth assumptions ahead of the company’s second annual investor day.

* Telecommunications: CIBC cuts target of Rogers Communications Inc to C$44 from C$53, BCE Inc to C$43 from C$44 and Telus Corp to C$34 from C$38 citing regulatory risk due to increasing attention on the wireless sector from the federal government.

ON THE CALENDAR

* No major Canadian economic data scheduled for release

* Major U.S. events and data includes personal income and consumption, personal spending, Reuters and University of Michigan sentiment and current conditions

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