Markets in Toronto looked set to open lower on Tuesday after billionaire investor Carl Icahn's comments on the recent rally in stock markets spurred investor caution.
The S&P/TSX composite index dropped 24.51 points Monday to close at 13,458.06. Futures dropped 0.04%
The Canadian dollar faded 0.05 cents to 95.83 cents U.S. early Tuesday
Icahn said on Monday he is "very cautious" on the stock market, saying he could see a "big drop" because earnings at many companies are fueled more by low borrowing costs rather than the strength of management.
Sears Canada reported a wider quarterly loss as it took one-time charges of $42.8 million related to restructuring and asset impairment.
Bombardier has signed a letter of intent to sell five CSeries jetliners to Iraqi Airways
Canaccord Genuity raised the price target on Genworth MI Canada to $34.50 from $33 on valuation based on improved loss ratios.
ON BAYSTREET
The TSX Venture Exchange finished Monday off 12.28 points to 921.79
ON WALLSTREET
Investors were showing signs of caution Tuesday morning, a day after the Dow and S&P 500 hit record peaks.
Ahead of the opening bell, futures for the Dow Jones Industrials improved two points to 15,940. Futures for the S&P 500 faded 2.6 points, or 0.2%, to 1,786.10, and futures for the NASDAQ fell 6.5 points, or 0.2%, to 3,377.50
JPMorgan Chase and the Justice Department are expected to finalize a $13-billion U.S. settlement related to the bank's past mortgage practices. The settlement and announcement could come as soon as Tuesday.
Shares of Nokia and Microsoft could also move depending on the outcome of a vote over Microsoft's planned acquisition of Nokia's mobile phone business. The sale is widely expected to be approved by shareholders.
On the earnings front, Best Buy reported quarterly revenue and profit that beat expectations. But shares took a dive in pre-market trading after the electronics retailer said that "more promotions in Q4 could hurt gross margin."
Urban Outfitters shares slipped after the retailer offered cautious guidance for the fourth quarter.
Campbell Soup lowered its guidance after a weak quarterly report. Chief Executive Denise Morrison said she was "disappointed."
Home Depot reported significant growth in profit, revenue and same-store sales, and raised guidance for the year.
Tesla shares plunged after the National Highway Safety administration opened an investigation into vehicle fires.
European markets were dipping in morning trading, with the CAC 40 in Paris declining by roughly 1%.
Asian markets ended with mixed results. The main Chinese indexes in Shanghai andHong Kong pulled back a tad after a big run-up Monday. Chinese stocks had been rallying strongly based on a number of reforms announced by Beijing
Oil prices fell 38 cents to $92.65 U.S. a barrel
Gold prices dipped $2.20 to $1,274.50 U.S. an ounce.
