CANADA STOCKS-TSX may open higher despite the U.S. shutdown

Tue Oct 1, 2013 8:24am EDT

Oct 1 (Reuters) - Canada's main stock index looked set to open higher on Tuesday as investors remained calm despite the first U.S. government shutdown in 17 years.

TOP STORIES

* The U.S. government began a partial shutdown for the first time in 17 years, potentially putting up to 1 million workers on unpaid leave, closing national parks and stalling medical research projects.

* Silvio Berlusconi on Monday faced dissent within his People of Freedom Party, complicating his plans to bring down Prime Minister Enrico Letta's coalition government.

* Euro zone factory activity grew for the third month running in September as stronger demand enabled manufacturers to raise prices for the first time since mid-2012, a survey showed.

* JPMorgan Chase & Co's possible $11 billion settlement of government mortgage probes has been complicated by a dispute with the Federal Deposit Insurance Corp over responsibility for losses at the former Washington Mutual Inc, said people familiar with the matter.

* Warren Buffett's Berkshire Hathaway Inc will receive Goldman Sachs Inc stock worth nearly $2.15 billion on Tuesday through warrants acquired as part of a deal originally signed during the depths of the 2008 financial crisis.

MARKET SNAPSHOT

* Canada stock futures traded up 0.19 percent

* U.S. stock futures , , were up around 0.26 percent to 0.29 percent

* European shares, were up

COMMODITY PRICE MOVES

* Thomson Reuters-Jefferies CRB Index : 285.3334; fell 0.27 percent

* Gold futures : $1,317.1; fell 0.71 percent

* US crude : $102.21; fell 0.12 percent

* Brent crude : $108.04; fell 0.3 percent

* LME 3-month copper : $7,215.75; fell 1.18 percent

CANADIAN STOCKS TO WATCH

* Intact Financial Corp : The property and casualty insurer said it will take catastrophe losses of C$199 million in the third quarter due mainly to a series of bad weather events and a fiery train derailment that devastated the town of Lac-Megantic, Quebec in early July.

ANALYSTS' RECOMMENDATIONS

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

* Brookfield Office Properties Inc : CIBC cuts to rating sector performer from sector outperformer after Brookfield Property Partners announced a proposal to acquire "any or all" Brookfield Office Properties shares outstanding.

* Genivar Inc : Raymond James raises price target to C$30 from C$27 following a slew of positive data points for the company and the engineering services industry.

* Niko Resources Ltd : Canaccord Genuity cuts rating to hold from buy and target price to C$6 from C$13.50 on financing concerns which were recently highlighted by the company's delinquency on rig payments.

* Primero Mining Corp : Cantor raises price target to C$7.05 from C$6.45 on increased confidence in the management's ability to ramp its San Dimas project according to plan.

* Twin Butte Energy Ltd : CIBC raises target price to C$2.50 from C$2.25 after the company announced the sale of a non-core gas asset.

ON THE CALENDAR

* Major Canadian economic data includes RBC Manufacturing PMI

* Major U.S. events and data includes Markit manufacturing PMI, construction spending and the ISM manufacturing employment

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

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