The Toronto stock market headed for a sharply lower open Tuesday amid a number of concerns, including the failure of Japan's central bank to unveil more measures to boost the country's economy and a court challenge on the legality of the European Central Bank's approach to the euro crisis.
The S&P/TSX Composite Index inched up 9.37 points to end Monday at 12,382.67
The Canadian dollar fell 0.49 cents to 97.61 cents U.S. early Tuesday.
On the corporate front, Lululemon Athletica Inc. was also in focus after CEO Christine Day said after the close Monday she was stepping down. She will remain in the job until a successor is named.
The yoga wear retailer also handed in earnings of 32 cents a share, beating expectations of 29 cents, and announced plans to de-list from the TSX. Its shares plunged 13.5% in pre-market trading on the NASDAQ
In other corporate developments, Telus Corp. has called off its plan to buy small wireless provider Mobilicity after Ottawa signalled last week that it would not allow the deal. Mobilicity, which has about 250,000 customers, said Monday that it will instead go ahead with a recapitalization plan.
The deal had required the federal government to make an exception to certain rules and allow the larger company to transfer ownership of wireless spectrum owned by Mobilicity.
ON BAYSTREET
The TSX Venture Exchange dropped 4.68 points Monday to 946.72
ON WALLSTREET
Markets around the world were under pressure Tuesday as investors continue to worry about central banks easing back on their bond-buying programs and loose monetary policies.
Futures for the Dow Industrials slipped 115 points, or 0.8%, to 15,113 Futures for the S&P 500 faded 15.10 points, or 0.9%, to 1,627, and futures for the NASDAQ dropped 28 points, or 0.9% to 2,959.
After climbing steadily for the first part of the year, U.S. stocks have been choppy in recent weeks as investors try to gauge when the Federal Reserve will begin to slow the pace of its stimulus program.
On the corporate front, Lululemon shares tanked tanked after the yogawear maker announced that CEO Christine Day is stepping down.
Shares of Sprint Nextel rose after SoftBank, Japan's third-largest wireless carrier, increased its takeover offer.
Shares of Dole Foods surged after the company said its chairman and CEO, David Murdock, made a cash offer to buy the 60.5% of the company he doesn't already own. Murdock offered to pay a 17.6% premium to Monday's close.
Shares of aircraft maker Boeing slipped after the company trimmed its 20-year forecast for widebody jet demand, even as it raised its forecast for single-aisle jets.
Major Asian markets ended down between 1% and 1.5% after the Bank of Japan left its monetary policy unchanged, disappointing some who had been hoping for further stimulus measures. The yen, which had been losing traction against the U.S. dollar, gained nearly 2%.
European markets took their cue from Asia and headed lower in early trading.
Oil prices staggered $1.24 to $94.53 U.S. a barrel
Gold prices gave back $12.60 to $1,373.40 U.S.
