Toronto's main stock index looked set to open lower on Monday amid doubts that the euro-zone can contain its debt crisis, despite newly-installed governments in Italy and Greece.
The TSX closed Friday at 12,276.85, having climbed 1.4% from the previous session.
Stocks to watch this morning include Bombardier Inc., which is intensifying its focus on emerging markets for its crucial new C-series of jets, executives said on Sunday.
Resilience in the insurance and mutual-fund subsidiaries in a period of volatile markets pushed up Power Financial Corp.’s quarterly profit and that of its parent Power Corp., according to Friday’s results.
Twin Butte Energy Ltd. says it will buy Emerge Oil & Gas Inc for about $105 million in a stock deal to increase its oil reserves and production.
The Canadian dollar traded at 98.13 cents U.S.
Dow futures dipped 39 points, or 0.3%, to 12,073, while S&P 500 futures edged seven points, or 0.6%, lower to 1,254.60.
Warren Buffett told CNBC early Monday that his company, Berkshire Hathaway, is boosting its stake in IBM. Shares of IBM edged slightly higher in early trading.
Lowe's reported a 44% drop in third-quarter profit Monday. Shares of the home improvement giant fell 1% ahead of the opening bell. Retailer J.C. Penney also reported earnings before the market open. The company's profits met estimates, but guidance was below forecasts. The stock fell 2% in pre-market trading.
Meantime, global equity investors waited to see what had changed in Europe, after the appointment of two respected economists as prime ministers of Italy and Greece.
Britain's FTSE 100 fell 0.9%, France's CAC 40 lost 1.6%, and Germany's DAX docked 1.4%
The euro climbed after Italy easily raised three-billion euros in a key debt auction. Investors demanded an interest rate of 6.29%, the highest level since 1997, compared with 5.32% at a similar auction a month ago.
Premier-designate Mario Monti began talks on forming a new government of experts to guide the country through its financial crisis and restore market confidence.
Italy’s problems have pushed the collapse of the much smaller Greek economy out of the spotlight. Greece’s new prime minister, Lucas Papademos, is a former European Central Bank vice-president who is under pressure to implement radical reforms aimed at staving off bankruptcy.
In Asia, Japan's Nikkei gained 1.1%, while Hong Kong's Hang Seng surged 1.9%.
U.S. crude oil traded $1.10 cents lower at $97.89 U.S. a barrel, after touching $99.69 U.S., a peak since July.
Gold fell $11.10 to $1,777 U.S. an ounce.
Related Stories
