Markets in Toronto opened lower on Tuesday, as investors remained cautious with hours to go before the start of the U.S. corporate earnings season, which could influence the market's near-term direction
The S&P/TSX composite index fell 30.79 points to begin the day at 12,468.76
The Canadian dollar slid 0.16 cents to 101.27 cents U.S.
Barrick Gold Corp has ended talks to sell a stake in majority-owned African Barrick Gold to a Chinese buyer, dashing hopes of a potential $3-billion deal for the underperforming unit. Barrick shares gave back 46 cents to $33.11 in the day’s first hour.
Rival Goldcorp Inc. said it expects gold production to rise by about 10% to between 2.55 million and 2.80 million ounces in 2013. The company also raised its annual dividend by 11% to 60 Canadian cents per share. Goldcorp shares lost 42 cents to $34.27.
Nautilus Minerals Inc. which hopes to develop the world's first underwater copper-gold mine off Papua New Guinea, said it has had no contact with a little-known investor who announced a hostile $238-million takeover bid for it but would consider a formal offer.
Michael Bailey plans to offer 97 Canadian cents per share for Nautilus, according to a statement released by boutique financial advisory firm Gannibal Securities on Monday. Nautilus shares inched up three cents to 61 cents soon after the opening bell.
ON BAYSTREET
The TSX Venture Exchange nipped 1.08 points to 1,224.97
All but three of the 14 Toronto subgroups were lower at the outset, with the metals and mining, global base metals and gold groups all off 0.7% each.
The three gainers were information technology, up 1%, health-care, gaining 0.7%, and industrials, up 0.1%.
ON WALLSTREET
Stocks were little changed at the open Tuesday, as investors brace for Corporate America to start reporting quarterly results.
The Dow Jones Industrial Average slumped 46.19 points at 13,338.10
The S&P 500 deducted 5.44 points to 1,456.45. The Nasdaq Composite docked 10.71 points to 3,088.10
Overall, fourth-quarter earnings for S&P 500 companies are expected to rise 3.3% from the fourth quarter of 2011, according to S&P Capital IQ.
Ahead of the opening bell, agriculture firm Monsanto reported earnings that blew past estimates and raised its guidance for the year. Aluminum maker Alcoa will be the first Dow component to report results for the fourth-quarter after Tuesday's close.
In other corporate news, shares of Yum Brands sank nearly 4%, after the restaurant operator said its fourth-quarter sales in China would be weaker than expected due to a controversy over food safety standards.
Virgin Atlantic has picked an American Airlines executive as its new CEO, as it looks toward a partnership with Delta to boost trans-Atlantic business. Craig Kreeger, a senior vice president at American Airlines, will succeed Virgin chief executive Steve Ridgway when he retires next month after a 23-year career with Sir Richard Branson's airline.
Netflix customers will have a few new options this year, thanks to a content deal inked with Time Warner. Users will be able to stream complete seasons of several series produced by Warner Bros., according to a statement issued by Time Warner on Monday.
Shares of Sears Holdings Corp dropped more than 2% after the retailer announced that Chief Executive Louis D'Ambrosio is stepping down from the top job for family health reasons. Hedge fund manager and Sears chairman Edward Lampert, who's been trying to orchestrate a turnaround for the trouble retailer, will become the new CEO next month.
On the economic front, investors will get look at metro area unemployment in November shortly after the open, following last week's national employment report for December. The Federal Reserve is set to release data on consumer credit for November at 3 p.m. ET.
Prices on the 10-year U.S. Treasury note increased lowering yields to 1.87% from Monday’s 1.90%. Treasury prices and yields move in opposite directions.
Oil prices added 25 cents to $93.44 U.S. a barrel.
Gold prices gained $9.20 an ounce to $1,655.50 U.S.
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