CANADA STOCKS-TSX may open lower on Cyprus bailout woes

March 18 Mon Mar 18, 2013 8:08am EDT

March 18 (Reuters) - Toronto's main stock index looked set to open lower after a European decision to include a tax on bank deposits in a bailout of Cyprus sent shockwaves through financial markets.

TOP STORIES

* Cypriot ministers rushed to revise a plan to seize money from bank deposits as part of an EU bailout, in an effort to ensure lawmakers supported it in a vote later in the day.

* Standard and Poor's sees a high risk that Spain, Italy, Portugal and France will not be able to carry through necessary reforms as the unemployed become less willing to put up with austerity, S&P's Germany head Torsten Hinrichs told a newspaper.

* Europe's Airbus has landed a record order potentially worth $20 billion from Indonesia's Lion Air, sources familiar with the matter said on Sunday, smashing rival Boeing's grip on one of the world's fastest-growing airlines.

* STMicroelectronics and Ericsson will close their loss-making mobile chip joint venture ST-Ericsson by dividing parts of the business between them and shutting the rest with the loss of about 1,600 jobs.

MARKET SNAPSHOT

* Canada stock futures traded down 0.42 percent

* U.S. stock futures , , were down around 0.8 percent

* European shares, were down

COMMODITY PRICE MOVES

* Thomson Reuters-Jefferies CRB Index : 294.9332; fell 0.68 percent

* Gold futures : $1,601.6; rose 0.57 percent

* US crude : $92.5; fell 1.02 percent

* Brent crude : $108.42; fell 1.27 percent

* LME 3-month copper : $7,595; fell 2.03 percent

CANADIAN STOCKS TO WATCH

* Bombardier Inc : The train maker will have to pay at least 460 million Swiss francs to Swiss railway group SBB for late delivery of 59 double-deck trains the SBB ordered three years ago, a Swiss newspaper reported on Sunday.

* BNK Petroleum Inc : The oil and gas exploration and production company said on Sunday it had agreed to sell most of its assets in Oklahoma's Tishomingo Field to Exxon Mobil Corp for $147.5 million to fund its exploration program and repay debt.

ANALYSTS' RECOMMENDATIONS

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

* Eastern Platinum Ltd : CIBC cuts price target to C$0.35 from C$0.45 on valuation citing current metal price environment

* InnVest REIT : CIBC raises target price to C$5.25 from C$5 citing attractive valuation after the REIT posted better-than-expected fourth-quarter results, says operating performance may lead to above-average AFFO/unit growth over time

* KeyREIT : CIBC raises price target to C$7.50 from C$7 after Huntingdon Capital Corp raises its offer for the company's by 7 percent

* Northern Property REIT : CIBC cuts price target to C$33 from C$34 after the company posted in-line fourth-quarter results

* Pacific Rubiales Energy Corp : CIBC cuts price target to C$25 from C$29.50 after the company missed fourth-quarter sales estimates

ON THE CALENDAR

* Major Canadian economic data includes securities figures

* Major U.S. events and data includes National Association of Home Builders/Wells Fargo March housing market index

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Comments (1)
Venerability wrote:
Re Bombardier story from Swiss source: READ it!

Action may be taken a year from now, and like similar brouhahas, this one is “under negotiation.”

So this is just a Headline for Propaganda Purposes, as so often occurs in the transportation sector, with companies at rivals’ throats pretty much all of the time.

This particular propaganda probably once again incited by good ole Siemens, because the Thameslink and Crossrail controversies in the UK at coming to the boiling point again, with Bombardier now perhaps gaining the upper hand.

Both reporters and investors need to hone their “Technical Analysis of Propaganda” skills in the transportation sectors.

Mar 18, 2013 8:50am EDT  --  Report as abuse
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