Toronto's main stock index looked set to open lower on Monday, in line with global markets, after China announced its lowest annual growth target in eight years and uncertainty around Greece's bailout dented investor sentiment.
The Canadian dollar slid 0.38 cents to 100.69 cents U.S.
Stocks to watch north of the border this morning include Petrominerales Ltd., which posted a more-than-two-fold rise in quarterly adjusted net income helped by higher production and oil prices.
Enbridge Inc. reported Sunday that a key segment of the company's oil pipeline system in the U.S. Midwest will remain shut down for up to four more days after a deadly vehicle accident in Illinois caused an oil leak and fire, likely squeezing supplies for refiners in the region.
U.S. index futures were lower with about 30 minutes before markets open, suggesting that stocks will fall at the start of trading. Futures for the Dow Jones industrial average were down 15 points, or 0.1%, to 12,953. Futures for the broader S&P 500 were down 2.7 points, or 0.2%, to 1,366.10, while futures for the Nasdaq index dipped three points, or 0.1%, to 2,640.50
In Europe, the U.K.'s FTSE 100 was down 0.5% and Germany's DAX index was down 1% in afternoon trading. There the euro-zone's purchasing managers' index for February slid more than expecting, providing more evidence that the region is sinking into recession.
At the same time, investors are on edge as private Greek bondholders are expected to exchange their debt holdings for new issues by Tuesday's deadline -- though nothing is certain in this sovereign-debt crisis.
In Japan, the Nikkei 225 fell 0.8% in overnight trading, while Shanghai markets fell 0.6%, and Hong Kong’s Hang Seng Index tripped 1.4%.
The biggest source of concern comes from China. There, policy makers have reduced the country's symbolic growth target to 7.5% from 8% and said that the country should highlight domestic consumption. Of course, China has generally produced economic growth that has far exceeded 8%, but the target reduction nonetheless highlights concerns that the country is stumbling.
Generally, growth below 7% is considered a "hard landing" -- so growth of 7.5% is seen as perilously close.
Commodity prices fell. Crude oil traded at $106.21 U.S. a barrel, down 0.5%. Gold fell to $1,697 U.S. an ounce, down 0.7%.
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