Stock indices in Toronto looked set to open lower on Thursday as a fresh crisis in the Italian government coupled with disappointing European corporate results hit investor sentiment.
The S&P/TSX composite index remained positive 19.50 points to close Wednesday at 13,900.49.
The Canadian dollar nicked up 0.02 cents U.S. early Thursday to 90.91 cents U.S.
Bombardier Inc reported a lower-than-expected quarterly profit due to a fall in gross margin and forecast a slowdown in revenue growth at its rail unit this year.
Barrick Gold Corp reported a big fourth-quarter loss on Thursday as it took another impairment charge, cut its gold reserve estimate by 26% and said a key cost measure might rise this year.
Manulife Financial Corp reported a 20% rise in fourth-quarter profit as stronger mutual fund sales and a $350-million gain on the sale of its Taiwan insurance business offset weaker insurance sales, but results still fell short of estimates.
Encana Corp. reported a smaller-than-expected fall in quarterly operating profit as the company ramped up production of liquids such as light oil and condensate.
Italian Prime Minister Enrico Letta faces a showdown with his own centre-left party on Thursday that could lead to his resignation and the appointment of Democratic Party leader Matteo Renzi as head of a new government within days.
On the economic front, Statistics Canada told us this morning that its new housing price index rose 0.1% in December, following no change in November. Monthly price movements have been fairly static since June 2012.
ON BAYSTREET
The TSX Venture Exchange eked up 1.49 points Wednesday to 981.73
ON WALLSTREET
Investors have a mega media merger to digest Thursday, but that looks unlikely to give the broader market a boost.
Ahead of the opening bell, futures for the Dow Jones Industrials slid 70 points, or 0.4%, to 15,873. Futures for the S&P 500 lost 9.80 points, or 0.5%, to 1,807.30, and futures for the NASDAQ shed 17.75 points, or 0.5%, at 3,606.75
Comcast announced plans to acquire Time Warner Cable in a $45-billion U.S. deal that would combine the two biggest cable companies in the United States.
Comcast has agreed to pay $158.82 U.S. per share for Time Warner Cable, a 17% premium to Wednesday's closing price. Time Warner Cable shares jumped 10% in pre-market trading, while Comcast rose slightly. Also, shares in a smaller rival -- Cablevision Systems gained 2%.
Bad weather on the East Coast could keep markets subdued. It has already forced Federal Reserve Chairwoman Janet Yellen to postpone her second appearance this week before Congress, which was due Thursday. Her first day of testimony as chairman sent stocks sharply higher Tuesday.
In other company news, PepsiCo announced an increase in quarterly profit and revenue. Shares made slight gains.
Goodyear Tire & Rubber Company reported an increase in operating income for the quarter, compared to a year earlier, but a decline in revenue.
Kraft Foods is also scheduled to announce quarterly results on Thursday.
Netflix said it acquired the rights for the animated series "Star Wars: The Clone Wars."
Dow component Cisco Systems raised its dividend despite reporting lower revenue and earnings. Weak revenue guidance disappointed investors.
European markets were weaker in afternoon trading, while Asian markets ended with losses, led by the Nikkei 225, which fell 1.8%.
Oil prices dipped 56 cents to $99.81 U.S. a barrel
Gold prices slid $2.60 to $1,292.40 U.S. an ounce.
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