Canada's main stock index looked set to open higher after the Bank of Japan eased monetary policy by boosting its asset-buying program.
The S&P/TSX composite index closed Tuesday lower by 24.15 points at 12,422.71. Canada stock futures traded up 0.2%
The Canadian dollar dropped Wednesday morning by 0.07 cents to 102.66 cents U.S.
The Bank of Japan eased monetary policy by boosting its asset-buying program, as prospects of a near-term recovery in the world's third largest economy faded due to weakening exports and a prolonged slowdown in Chinese growth.
Stocks to watch this morning include miner B2Gold Corp, which said it is buying CGA Mining Ltd in a deal valued at about $1.1 billion.
The financial gains Enbridge Inc. forecasts will flow from its proposed Northern Gateway pipeline to Canada's West Coast are based on rosier oil production predictions than the company shares with its own investors and analysts
Great Basin Gold Ltd. said its South African unit Southgold Exploration filed for creditor protection a week after it suspended operations at its Burnstone mine.
Valeant Pharmaceuticals International Inc. said it is offering about $1.75 billion of senior unsecured notes through a U.S. subsidiary to help fund its acquisition of Medicis Pharmaceutical Corp.
ON BAYSTREET
TSX Venture Exchange added 5.48 points to 1,322.64.
ON WALLSTREET
U.S. stock futures were modestly higher Wednesday after the Bank of Japan announced plans to ramp up its bond buying program.
Futures for the Dow Jones Industrials gained 17 points, or 0.1%, to 13,516, about 30 minutes before the opening bell. Futures for the S&P 500 gained back 1.7 points, or 0.1%, to 1,454.60, and for the Nasdaq, futures took on 4.5 points, or 0.2%, to 2,854.50
The Bank of Japan said it would expand its asset purchase program by ¥10 trillion to about ¥80 trillion to boost its slowing economy.
The news pushed Asian stocks higher. The Shanghai Composite ended up 0.4%, while the Hang Seng in Hong Kong and Japan's Nikkei each gained 1.2%.
Britain's FTSE 100 and France's CAC 40 hovered slightly above breakeven, while the DAX in Germany edged 0.1% lower.
U.S. Housing starts rose 2.3% in August to an annual rate of 750,000, which was higher than July, according to the U.S. Census. However, the data fell short of expectations. Building permits dipped slightly to an annual rate of 803,000.
Later this morning, the U.S. National Association of Realtors will release data on existing home sales for August, which are expected to have reached an annual rate of 4.58 million.
The housing market has showed signs of improvement lately, and the Fed hopes to support it further by driving down long-term interest rates with its new asset purchases.
Oil for October delivery fell 27 cents to $95.02 U.S. a barrel.
Gold prices climbed $1.30 to $1,772.50 U.S. an ounce.
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