CANADA STOCKS-TSX set to open higher as Fed comments ease concerns

Tue Apr 1, 2014 8:59am EDT

(Adds econ data)

April 1 (Reuters) - Canada's main stock index looked set to kick off the quarter on a positive note on Tuesday after U.S. Fed Chair Janet Yellen's dovish comments eased concerns about a rate hike coming earlier than expected.

June futures on the S&P TSX index <0#SXF:> were up 0.27 percent at 0845 ET.

Higher fuel prices and a weaker Canadian dollar helped lift producer prices by more than expected in February, Statistics Canada data indicated.

Shares ended higher on Monday after the U.S. Federal Reserve's assurance of continued support for the economy lifted sentiment and helped drive up shares of financial and energy companies.

Dow Jones Industrial Average futures were up 0.27 percent, S&P 500 futures were up 0.24 percent and Nasdaq 100 futures were up 0.24 percent at 0845 ET.

(Morning News Call newsletter link.reuters.com/nex49s; The Day Ahead newsletter link.reuters.com/mex49s)

TOP STORIES

Kinross Gold Corp released a feasibility study for its Tasiast gold mine expansion on Monday with a lower-than-previously-estimated capital cost, but said it does not plan to make a final decision on the project until 2015 at the earliest.

Workers at Toyota Motor Corp's Canadian plants are set to vote next week on whether to become the first at wholly owned Toyota facilities in North America to unionize, a push Canada's biggest private-sector union is confident will succeed.

Encana Corp said on Monday it was selling its properties in Wyoming's Jonah natural gas field to an arm of private equity firm TPG Capital for $1.8 billion as part of a plan to shed assets and concentrate its operations.

COMMODITIES AT 0845 ET

Gold futures : $1,284.80; +0.11 pct

US crude : $101.37; -0.22 pct

Brent crude : $107.64; -0.11 pct

LME 3-month copper : $6,656.00; +0.17 pct

ANALYST RESEARCH HIGHLIGHTS

Boralex Inc : National Bank Financial removes from Action List

Western Lithium USA : Dundee Capital starts with buy rating

WSP Global Inc : CIBC raises target price to C$40 from C$38

U.S. ECONOMIC DATA DUE ON TUESDAY

0745 ICSC Chain Stores ww for w/e: Actual +3.56 pct; prior -1.5 pct

0745 ICSC Chain Stores yy for w/e: Actual +0.6 pct; prior +1.7 pct

0855 Redbook mm for w/e: Actual -0.5 pct; prior -0.4 pct

0855 Redbook yy for w/e: Actual +2.3 pct; prior +3.1 pct

0945 Markit Manufacturing PMI Final Mar: Prior 55.5

1000 Construction Spending mm Feb: Expected +0.0 pct Prior +0.1

1000 IBD Economic Optimism Apr: Prior 45.1

1000 ISM Manufacturing PMI Mar: Expected 54.0 Prior 53.2

1000 ISM Manufacturing Prices Paid Mar: Expected 60.0 Prior 60.0

1000 ISM Manufacturing Employment Index Mar: Expected 52.8 Prior 52.3

1000 ISM Manufacturing New Orders Index Mar: Prior 54.5

1030 Texas Services Sector Outlook Mar: Prior 6.8

1030 Dallas Fed Services Revenue Mar: Prior 9.8

FOR CANADIAN MARKETS NEWS, CLICK ON CODES IN BRACKETS:

TSX market report

Canadian dollar and bonds report

Reuters global stocks poll for Canada

Canadian markets directory

($1= $1.11 Canadian) (Reporting by Ayesha Sruti Ahmed in Bangalore; Editing by Saumyadeb Chakrabarty)

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