CANADA STOCKS-TSX set to open higher, helped by commodity gains

Mon May 6, 2013 8:43am EDT

May 6 (Reuters) - Canada's main stock index looked set to open higher on Monday, helped by gains in some commodities after Friday's encouraging U.S. jobs data alleviated fears of a possible slowdown in the world's largest economy.

Oil rose above $105 a barrel to its highest in nearly a month as an Israeli air strike on a Syrian military facility refocused attention on Middle East supply risks.

TOP STORIES

* The euro zone's business downturn dragged on in April, suggesting the region may be falling deeper into recession this quarter, business surveys showed.

* Growth in China's services sector slowed sharply in April to its lowest point since August 2011, a private sector survey showed - fresh evidence of rising risks to a revival in the world's No.2 economy.

* A private equity group made up of Bain Capital and Golden Gate Capital Corp are nearing a deal to acquire BMC Software and an announcement could come as early as Monday, two people familiar with the matter told Reuters.

* Magna International Inc plans to cut jobs in Europe and the United States as it seeks to reduce costs and offset weak demand in Europe, Chief Executive Donald Walker told German magazine WirtschaftsWoche.

* Warren Buffett's Berkshire Hathaway Inc on Friday said quarterly profit rose nearly 51 percent on a solid performance in insurance and by many of its other businesses, as well as gains from investments and derivatives.

MARKET SNAPSHOT

* Canada stock futures traded up 0.03 percent

* U.S. stock futures , , were around -0.01 percent to 0.07 percent

* European shares, were down

COMMODITY PRICE MOVES

* Thomson Reuters-Jefferies CRB Index : 290.4438; fell 0.09 percent

* Gold futures : $1,475; rose 0.73 percent

* US crude : $95.72; rose 0.12 percent

* Brent crude : $104.54; rose 0.34 percent

* LME 3-month copper : $7,270; rose 6.45 percent

CANADIAN STOCKS TO WATCH

* Onex Corp : The private equity company said it will buy TV ratings firm Nielsen Holdings N.V.'s expositions business for $950 million.

ANALYSTS' RECOMMENDATIONS

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

* Air Canada : Canaccord Genuity cuts target price to C$5.25 from C$5.50 citing uncertainties, says ongoing competition in certain markets continue to hurt.

* Canadian REIT : CIBC ups target to C$49 from C$46 after the REIT posted in-line first-quarter funds from operations and announced a 6.5 percent increase to its distribution.

* Eldorado Gold : RBC cuts to sector perform from outperform and downs price target to $9 from $9.50 after the company posted a first-quarter loss, is cautious about ongoing permitting delays and a highly politicized situation in Greece regarding the company's build-out plans.

* IGM Financial Inc : Canaccord Genuity raises target price to C$47 from C$46 to reflect assumed increase in management fee after the company posted higher-than-expected first-quarter sales.

ON THE CALENDAR

* Major Canadian economic data includes building permits and Ivey PMI

* Major U.S. events and data includes employment index

A couple walks along the rough surf during sunset at Oahu's North Shore, December 26, 2013. REUTERS/Kevin Lamarque

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