Toronto’s main stock index looked set to open lower on Friday, as investors remained cautious ahead of results from a stress test of Spanish banks, but BlackBerry maker Research In Motion Ltd was set to shoot higher after results.
The S&P/TSX composite index closed up 105.99 points to end Thursday at 12,338.25. Canada stock futures traded down 0.1%
The Canadian dollar shaved off 0.09 cents Friday morning to 101.89 cents U.S.
Research In Motion Ltd reported a narrower-than-expected loss on Thursday and the struggling BlackBerry maker bolstered its cash reserves, sparking optimism ahead of the launch of its make-or-break line of next-generation smartphones.
Newmont Mining Corp plans to shed workers and cut costs at its giant Indonesian copper and gold mine as it loses a million dollars a day in cash flow because of low output that will continue through next year.
Canacol Energy reported a fall in fourth-quarter profit on lower average daily sales volumes.
Enbridge Inc. has won regulatory approval to add an Alberta crude pipeline at a cost of up to $1.4 billion to move output from Imperial Oil Ltd's Kearl oil sands project and increasing production from others in the region, the company said on Thursday.
Members of United Steelworkers union Local 624 ended a four-month strike at Husky Energy's 155,000 barrel per day Lima, Ohio refinery late on Thursday night, just hours after it began a search for replacement workers.
Lundin Mining is hunting for zinc and copper mine acquisitions and further ways to boost production, CEO Paul Conibear said in Swedish business daily Dagens Industri.
On the economic calendar, Statistics Canada reported this morning that Gross Domestic Product grew 0.2% in July, after edging up 0.1% in June. Goods production increased 0.2% in July, on the strength of manufacturing and utilities. In contrast, mining and oil and gas extraction as well as construction declined.
The agency said the output of service industries rose 0.2% in July, mainly as a result of increases in retail and wholesale trade, the finance and insurance sector, and accommodation and food services. The public sector (education, health and public administration combined) was essentially unchanged in July.
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The TSX Venture Exchange strengthened 15.45 points Thursday to 1,322.31
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U.S. stocks were set to close out the third quarter Friday, with investors balancing global growth concerns and hope that Spain will soon ask for a bailout from neighbours.
Futures for the Dow Jones Industrials tumbled 79 points, or 0.6%, to 13,335, about 30 minutes before the opening bell. Futures for the S&P 500 lost eight points, or 0.6%, to 1,433.10, and for the Nasdaq, futures declined 11.50 points, or 0.4%, to 2,803.
The first U.S. domestic report of the day showed personal income grew at 0.1% in August -- the same as July. Personal spending rose 0.5%, slightly higher than in July. Both are signs the recovery continues to struggle.
Meanwhile, the Bureau of Economic Analysis reported that core prices of household goods and services rose 0.1% in August, as expected.
At 9:45 a.m. ET, the Chicago Purchasing Managers Index for September -- a manufacturing measure -- will be published, followed by the University of Michigan releasing the final edition of its consumer sentiment index for September.
Investors will be focused on Europe after the release of Spain's 2013 budget on Thursday. The proposed budget boosted U.S. stocks late Thursday, as many interpreted it as a sign the country is willing to take necessary steps to avert a deepening crisis. But that relief may prove ephemeral as concerns about Spain remain.
European stocks were mixed in midday trading. Britain's FTSE 100 shed 0.1%, while the DAX in Germany fell 0.5% and France's CAC 40 dropped 1.6%.
In Asia, Chinese investors continued to rally on the central bank's record injection of liquidity into money markets. The Shanghai Composite ended 1.5% higher, and the Hang Seng in Hong Kong rose 0.4%.
But the outlook remained grim in Japan, where a government report showed Japanese industrial production and prices fell in August, a worrying development given the country's current territorial dispute over islands that have hurt Japanese businesses in China. As a result, Japan's Nikkei ended down 0.9%.
Oil for November delivery rose four cents to $91.89 U.S. a barrel.
Gold futures for December delivery rose 60 cents to $1,781.10 U.S. an ounce.
