The TSX was poised for a lower open Monday, dragged down by falling commodity prices as the initial enthusiasm faded over a European Union deal to tackle its debt crisis.
Issues in the energy sector are among those stocks to watch this morning.
Encana Corp. will sell Alberta natural gas assets to the gas-distribution unit of Centrica Plc for $58 million and some other properties, extending a string of sales as Encana grapples with low gas prices.
Rival Suncor Energy said on Sunday it was withdrawing from Syria as a result of sanctions announced by the European Union on December 2.
The Canadian dollar dipped 0.67 cents against its U.S. counterpart to 97.45 cents U.S.
U.S. stocks pointed to a lower open Monday as investors remained uncertain about the debt crisis in Europe.
Futures for the Dow Jones industrial average fell 95 points, or 0.8%, S&P 500 futures dipped 13.10 or 1%, and Nasdaq futures slid 12.75 points or 0.6%, ahead of the opening bell. Stock futures indicate the possible direction of the markets when they open at 9:30 a.m. ET.
Financial stocks will once again be in focus as the biggest reactors to European debt concerns. Shares of Citigroup, Bank of America, Goldman Sachs and JPMorgan Chase were all down between 0.5% and 1% in premarket trading.
European leaders, including the 17 members of the euro-zone, reached a deal for a new intergovernmental treaty Friday to create fiscal unity and resolve the long-running debt crisis once and for all. The plan is expected to be finalized by March but a lot can happen between now and then.
Without any major U.S. economic reports due out Monday, the euro will remain the main driver.
Also on Monday, the European Commission, European Central Bank and International Monetary Fund, known as the Troika, will return to Athens to continue discussions with Greece's new government about that country's bailout needs and austerity plans.
European stocks were lower in midday trading. Britain's FTSE 100 slipped 0.8%, the DAX in Germany dropped 2.1% and France's CAC 40 fell 1.4%.
Asian markets ended mixed. The Shanghai Composite shed 1%, while the Hang Seng in Hong Kong
ticked up 0.1% and Japan's Nikkei rose 1.4%.
Oil for January delivery slipped $1.23 to $98.18 U.S. a barrel.
Gold futures for February delivery fell $30.40 to $1,686.40 U.S. an ounce.
