Canada's main stock index looked set to open lower on Wednesday, led by a fall in commodity prices, as appetite for riskier assets lost steam on disappointing euro-zone data and doubts about early central bank action to tackle declining global growth.
The S&P/TSX Composite index leaped 200.91 points, or 1.7%, to close Tuesday at 11,863.50
The Canadian dollar moved lower 0.04 cents Wednesday morning to 100.28 cents U.S.
BCE Inc reported a surge in its quarterly profit on Wednesday, as strong results from its wireless and media arms spurred Canada's largest telecom player to also lift its full-year earnings outlook and dividend payout.
Air Canada said operating earnings fell 14% for the second quarter as labor disruptions and closure of its plane maintenance contractor weighed on the results.
Nevsun Resources Ltd's quarterly profit rose 12% as it realized higher prices for gold sold, and the company raised its gold production forecast for the year.
ON BAYSTREET
The TSX Venture Exchange gained 3.61 points to 1,190.56. The Nasdaq Canada index added 2.14 points to 347.13.
ON WALLSTREET
U.S. stocks were set to open lower Wednesday, following a string of gains that put all three major indexes at their highest levels since early May.
Futures for the Dow Jones Industrials dipped 14 points, or 0.1%, to 13,105, about 30 minutes before the opening bell.
Futures for the S&P 500 sifted off 5.1 points, or 0.4%, to 1,391.90, and for the Nasdaq, futures shed five points, or 0.2%, to 2,705
On the corporate front, firms including Macy's and Polo Ralph Lauren reported their quarterly results before the bell, while News Corp reports will report after the closing bell.
About 85% of the companies in the S&P 500 have reported their quarterly results, and earnings are on pace to grow just 0.6% -- the slowest pace since the third quarter of 2009.
Investors are awaiting the latest round of corporate results, while keeping an eye on news from Europe and the world's central banks.
England's central bank released its quarterly inflation report Wednesday, and was gloomy in its outlook. The Bank of England slashed its forecast for economic growth in Britain to 2% annually in two years, down from its earlier estimate of 2.6%. The central bank also trimmed its inflation outlook.
Meanwhile, borrowing costs for Spain and Italy remain uncomfortably high, with the Spanish 10-year yield hovering around 7% and the Italian 10-year yield just below 6%. Worries remain that Spain, in particular, might need additional bailout funds.
European stocks slid in afternoon trading. Britain's FTSE 100 and the DAX in Germany lost 0.5% and France's CAC 40 fell 0.6%.
Asian markets had a mixed finish. The Shanghai Composite rose 0.2% and Japan's Nikkei added 0.9%, while the Hang Seng in Hong Kong dipped slightly.
Oil for September delivery fell 51 cents to $93.16 U.S. a barrel.
Gold futures for August delivery fell $4.10 to $1,605.60 U.S. an ounce.
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