CANADA STOCKS-TSX may open lower, Greece and China weigh

Mon May 14, 2012 8:37am EDT

May 14 (Reuters) - Canada's resource heavy main stock index looked set to open lower on Monday, as the political impasse in Greece and signs China was struggling to shore up its economy cast a shadow on global growth prospects and hurt commodity prices.

TOP STORIES

* Greece's president met little enthusiasm from political leaders summoned to a final round of talks to avert a new election, reinforcing fears the country was firmly on the path to bankruptcy and an exit from the euro zone.

* China's central bank cut the amount of cash that banks must hold as reserves on Saturday, freeing an estimated 400 billion yuan ($63.5 billion) for lending to head-off the risk of a sudden slowdown in the world's second-largest economy.

* JP Morgan will move to limit the fallout from a shock trading loss that could reach $3 billion or more by parting company with three top executives involved in its costly failed hedging strategy, sources close to the matter said.

* The Australian uranium miner Paladin Energy Ltd said most local employees at its Kayelekera mine in Malawi, southeast Africa, went on strike on Friday demanding higher pay.

* Silver Wheaton Corp reported a 20 percent increase in first-quarter earnings, driven by increased output from mines with which the stream financing company has silver purchase agreements.

MARKET SNAPSHOT

* Canada stock futures traded down 0.83 percent

* U.S. stock futures , , were down around 0.63-0.76 percent

* European shares, were down

COMMODITY PRICE MOVES

* Thomson Reuters-Jeffries CRB Index : 289.32; fell 0.85 percent

* Gold Futures : $1,563.1; fell 1.29 percent

* US Crude : $94.41; fell 1.79 percent

* Brent Crude : $110.83; fell 1.27 percent

* LME 3-month Copper : $7,875; fell 1.72 percent

CANADIAN STOCKS TO WATCH

* Legacy Oil + Gas Inc.. The company posted a first-quarter profit on increased production and higher prices.

* Iamgold Corp. : The miner's first-quarter net earnings from continuing operations fell 11 percent, as gold production for the quarter fell and mining costs increased.

* Canadian Pacific : The CEO of the railway has lost the support of two more big investors ahead of a crucial shareholder vote, pointing to victory for activist investor William Ackman in a bruising proxy battle.

* Toronto Dominion Bank : The bank agreed to pay $62 million to settle U.S. lawsuits accusing it of charging customers excessive overdraft fees.

ANALYST RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters.

* Alliance Grain Traders : Canaccord Genuity and CIBC cut price target on weaker-than-expected quarterly results

* Crombie REIT : Canaccord Genuity raises price target to C$16.20 from C$15.40, after recent acquisition of Goldmanco portfolio

* Enerplus : Macquarie cuts price target by C$1 to C$19 on lower fund flow forecast, keeps rating neutral

* Miranda Technologies : CIBC cuts target to C$12 from C$14 on slowing growth; rating sector performer

* Osisko Mining : BMO cuts price target to C$11 from C$15 after the company posted weaker-than-anticipated quarterly results, rating outperform

ON THE CALENDAR

* No major Canadian economic data is due to be released

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