Stock futures pointed to a lower opening for equities in Toronto on Tuesday, after weak Chinese trade data raised worries about growth in the world's second-biggest economy.
The S&P/TSX composite index moved earthward 328.07 points, or 2.5%, to close at 13,030.70. The index has declined for two consecutive weeks and has lost more than 10% so far this year.
The Canadian dollar fell 0.53 cents to 73.55 cents U.S. early Tuesday
Sources say Valeant Pharmaceuticals is reaching out to potential buyers for its specialty contact lens manufacturing division, Paragon Vision Sciences, amid scrutiny from the U.S. Federal Trade Commission.
Canadian Pacific Railway revised its offer to buy U.S. railroad operator Norfolk Southern, less than a week after its previous offer of $28.4 billion U.S. was rejected.
Royal Bank of Canada says its shift to put more emphasis on corporate investment banking and reduce its reliance on trading should lower the volatility of its capital markets business.
Barclays raised the target on Canadian Natural Resources to $40.00 from $38.00
Canaccord Genuity raised the target price on Onex Corp to $90 from $89
On the economic beat, Canada Mortgage and Housing Corporation reported this morning that housing starts reached 208,401 in November, compared to 206,125 in October.
Elsewhere, Statistics Canada told us that municipalities issued $7.7 billion worth of building permits in October, up 9.1% from the month before, and the first increase in three months.
ON BAYSTREET
The TSX Venture Exchange slumped 8.62 points, or 1.7%, Monday to 508.51.
ON WALLSTREET
U.S. stock futures are dipping by about 1% and all key market indexes across Europe and Asia are in the red.
Ahead of the opening bell, futures for the Dow Jones collapsed 170 points, or 1%, to 17,586, futures for the S&P 500 dropped 21 points, or 1%, to 2,060, and futures for the NASDAQ subsided 49.25 points, or 1.1%, to 4,651.75.
One of the most widely watched earnings reports today will come from gun manufacturer Smith & Wesson after the close.
Its shares have surged 116% this year, in part because investors expect gun fanatics will go on a buying spree as they worry that U.S. gun rules could get tighter.
Gun stocks have been rallying since the December 2 attacks in San Bernardino that killed 14 people. Shares in Sturm, Ruger are up 66% year-to-date.
Other companies reporting earnings include Costco and Krispy Kreme.
Home Depot hosts a conference call with investors and analysts this morning, where the company is expected to lay out a three-year business plan.
An economic report out of China shows imports and exports continued to fall last month. The yuan-denominated value of exports from China fell 3.7% in November, marking the 13th consecutive monthly decline. Official data also says imports fell for a fifth straight month.
Oil prices faded 74 cents to $36.91 U.S. a barrel
Gold prices dipped $1.39 to $1,069.95 U.S. an ounce.
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