Canada's main stock index looked set to open lower on Friday as better-than-expected German economic data was overshadowed by fears that the U.S. Federal Reserve is considering an early decrease of its $85-billion monetary stimulus program.
The S&P/TSX composite index was negative 94.41 points, to end Thursday at 12,658.09. Futures Friday were down 0.5% Friday.
The Canadian dollar fell 0.31 cents to 96.78 cents U.S. early Friday.
RBC raised the target price on Computer Modeling Group Ltd. to $25 from $24 on the company's solid fourth-quarter earnings.
RBC raised the target price on Enbridge Inc. to $56 from $50, says the company's shares should close the valuation gap with Inter Pipeline Fund and Pembia Pipeline Corp as all three companies have similar liquids infrastructure businesses that are generating above-average growth.
There is no economic news due out today.
ON BAYSTREET
The TSX Venture Exchange dipped 0.03 points to 942.05
ON WALLSTREET
Investors were bracing for another weak day on Wall Street Friday.
Futures for the Dow Industrials dipped 43 points, or 0.3%, to 15,246. Futures for the S&P 500 faded 7.1 points, or 0.4%, to 1,642.90, and futures for the NASDAQ fell 13.75 points, or 0.5%, to 2,978.50.
Shares of Dow component Procter & Gamble rose in pre-market trading after it ousted CEO Bob McDonald and replaced him with his predecessor A.G. Lafley. The company had been under pressure from activist investor Bill Ackman to make the move.
Music site Pandora jumped more than 12% in pre-market trading after it reported better-than-expected revenue and a slightly smaller-than-forecast loss after the close Thursday.
But there were bad quarterly results that sent other stocks sharply lower. Sears Holding and Abercrombie & Fitch both plunged more than 10% in pre-market trading as the retailers reported larger than expected losses in the most recent quarter.
Shares in Salesforce.com slid nearly 7% as the company offered a weak 2014 outlook. Gap shares also fell on weak guidance.
European markets staged a mild recovery in early trade after falling by roughly 2% Thursday, but by mid-session had turned mixed, with the region's strongest performers of late -- London's FTSE 100 and Germany's DAX 30 -- dropping by about 0.6%.
Japan's Nikkei 225 Index, which plunged 7% Thursday, finished a rocky trading day with a 0.9% gain.
Meanwhile, Chinese markets ended with mixed results. The Shanghai composite index rose by 0.6% while Hong Kong's Hang Seng dropped by 0.2%.
Oil prices doffed 65 cents to $93.60 U.S. a barrel
Gold prices dropped $1.10 to $1,390.70 U.S.
