Toronto's main stock index looked set to open lower on Wednesday, ahead of a European Central Bank meeting on Thursday, weighed by a string of weak macro data that showed the euro-zone is likely to have slipped back into recession in the current quarter.
The S&P/TSX Composite index stumbled 7.56 points, to close Tuesday at 11,941.70. Canada stock futures traded down 0.3%
The Canadian dollar sagged 0.23 cents Wednesday morning to 101.19 cents U.S.
Property and casualty insurer Intact Financial Corp said summer storms are likely to cost it $110 million to $130 million in after-tax damages, net of reinsurance.
Other companies in focus include TransAlta Corp., which said its unit entered into an agreement with Fortescue Metals Group Ltd to buy a 125 megawatt dual-fuel power station in Western Australia for $318 million.
Agnico-Eagle Mines Ltd. said its board approved the development and construction of a mine in Mexico.
Canadian Oil Sands Ltd., the largest-interest owner of the Syncrude project, said that operation produced an average of 359,500 barrels a day in August, up about 37% from 262,000 in the previous month.
Canada's central bank will be in focus Wednesday as the Bank of Canada makes its next announcement on interest rates. The bank is expected to leave its key interest rate unchanged at 1%, but traders will look for hints as to when the bank might hike rates.
ON BAYSTREET
The TSX Venture Exchange eked upward 1.84 points Tuesday to 1,242.58. The Nasdaq Canada was unchanged at 345.68
ON WALLSTREET
U.S. stocks were poised to open modestly lower Wednesday, as investors wait to take cues from jobs numbers due out Friday. All eyes are also focused on whether the European Central Bank acts to protect the euro when it meets Thursday morning.
Futures for the Dow Jones Industrials dipped 21 points, or 0.2%, to 13,029, about 30 minutes before the opening bell. Futures for the S&P 500 ducked back 2.7 points, or 0.2%, to 1,403.30, and for the Nasdaq, futures fell seven points, or 0.3%, to 2,767.50.
Investors are keeping a close watch on all economic numbers ahead of the Federal Reserve's Sept. 12-13 policy meeting, since the reports will likely influence the central bank's decision on whether it will announce more quantitative easing.
European stocks were mixed in afternoon trading. Britain's FTSE 100 slid 0.3% and France's CAC 40 lost 0.2%, while the DAX in Germany ticked up 0.4%.
Asian markets closed lower Wednesday. The Shanghai Composite shed 0.3%, the Hang Seng in Hong Kong dropped 1.5%, and Japan's Nikkei lost 1.1%.
Traders will watch for the government's revised reading on second-quarter productivity, which comes out this morning. The report is expected to show that business-sector output was slightly stronger than previous estimates.
Oil for October delivery rose 17 cents to $95.47 U.S. a barrel.
Gold futures for December delivery lost $2.60 to $1,695.60 U.S. an ounce.
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