CANADA STOCKS-TSX may open higher as oil, equities climb

TORONTO, March 10 (Reuters) - Toronto's main stock index could open higher on Tuesday after touching a multi-year low in the previous session, helped higher by climbing oil and equity markets on renewed optimism in the banking sector.

U.S. stock index futures pointed to a higher open on Wall Street [ID:nLA324321], helped as Citigroup Inc's (C.N) chief executive told staff in an open letter the company was profitable in the first two months of 2009 and it is confident about its capital strength after tough internal stress tests. [ID:nLA390055]

World stocks rose after three days of consecutive declines. [ID:nLA118651]

On Monday, the S&P/TSX composite index .GSPTSE closed down 24.53 points, or 0.32 percent, at 7,566.94, as weaker gold prices dragged down materials shares while bank worries weighed on financial issues.

Here is some news that could affect the market:

SOUTHWESTERN RESOURCES CORP (SWG.TO)

Southwestern Resources Corp (SWG.TO) announces letter agreement with Hochschild Mining Plc for acquisition by Hochschild of all outstanding common shares. [ID:nWNAB2279]

IAMGOLD (IMG.TO)

Iamgold said it will issue at least C$275 million in common stock, and use the proceeds to develop its recently acquired Essakane gold project in Burkina Faso. [ID:nN09476330]

METHANEX CORP (MX.TO)

Methanex Corp's (MX.TO) said its president and chief executive plans to purchase up to 40,000 additional common shares to increase holdings. [ID:nWNAB2006]

OIL INCHES HIGHER

Oil climbs above $47 a barrel ahead of a meeting in Vienna on March 15 of the Organization of the Petroleum Exporting Countries to decide whether to cut production further in an attempt to support oil prices.

GOLD, BASE METALS

Gold slipped as recovery in equity markets suggested risk aversion was easing, dampening the precious metal's appeal as a safe refuge. [ID:nLA276689] Base metals were mixed. [ID:nLA376185]

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