Canadian stocks looked set to open lower on Friday as the lack of progress by European leaders on resolving the euro debt crisis and growing concern about the health of the global economy sapped investor confidence.
Among stocks to watch this morning, a Canadian consortium aiming to buy TMX Group, the operator of the country's largest exchanges, said the $3.8-billion deal would likely win regulatory approval, its hopes boosted by a first day of hearings on Thursday.
Kinross Gold Corp. adjusted its forecast for depreciation, depletion and amortization in 2011 to about $600 million against previously stated forecast was $651 million.
Black Diamond Group Ltd. has agreed to purchase all the assets of Oilfield Rental assets, for $7.4 million cash.
The Canadian dollar fell to 95.18 U.S. cents.
Stateside, Dow futures were down 57 points, or 0.5%, at 11,177. S&P 500 futures fell 6.3 points, or 0.5%, to 1,153.60. Markets were shuttered Thursday in the U.S. for Thanksgiving.
Traders in the U.S. were bracing for a crucial test -- Black Friday, the day that kicks off the holiday shopping season and provides a pulse-check of retail spending in the world's number-one economy.
Italy sold eight billion euros of six-month treasury bills at a rate of 6.5%the highest since August 1997. Rome paid 4.6% in the previous auction in October. It is a sign that Italy's new technocratic government faces an uphill battle to convince the markets it can control its massive debts.
After the auction, Italy's 10-year yield spiked 0.34 percentage points to 7.3% -- above the 7% threshold widely considered unsustainable in the long-run and eventually forced Greece, Ireland and Portugal had to seek financial bailouts.
Adding to negative sentiment was Moody's downgrading of Hungary's credit rating to junk status.
Hungary, which last week asked the International Monetary Fund and the European Union for possible financial help, is feeling the impact of the euro-zone debt crisis.
U.S. crude for January delivery dipped 80 cents to $95.37 U.S. a barrel
Gold fell $14.80 to $1,684 U.S. an ounce.
