CANADA STOCKS-TSX may rise with commodity prices, eyes CIBC
08:12 EDT Wednesday, August 26, 2009
TORONTO, Aug 26 (Reuters) - Toronto's main stock index may rise at the open on Wednesday, bolstered by higher commodity prices, while investors will also digest quarterly results from Canadian Imperial Bank of Commerce .
The S&P/TSX composite index <.GSPTSE> finished Tuesday's session 1.21 percent higher at 10,920.53, boosted by financials as Bank of Montreal reported solid results.
Quarterly results from the country's big banks this week remain the key focus for market direction. Financials are the most heavily-weighted group on the TSX, about a third of the weighting.
Here is some of the news that may affect the market.
CIBC
Canadian Imperial Bank of Commerce, the country's fifth-largest bank, reported a higher quarterly profit, mainly on strong performance of its core retail and wholesale banking businesses and lower expenses. [ID:nN24133906]
ELDORADO GOLD
Eldorado Gold Corp said it will buy Sino Gold Mining for C$2.0 billion, in an all-share transaction to give it greater exposure to China's growing gold industry. The offer was worth A$7.24 per Sino Gold share, a premium of 21.3 percent, based on the companies' closing share prices on Tuesday. [ID:nSYD472825]
COMMODITIES
Gold rose towards $950 an ounce as the dollar weakened against the euro, boosting interest in the precious metal as an alternative asset. [ID:nLQ723905] Oil prices recovered early losses but remained below the 10-month high hit in the previous session. [ID:nSP475982]
CAE
Flight simulator maker and aviation training company CAE Inc said it received a series of military contracts valued at more than C$100 million. Key customers included Eurocopter, Airbus Military and L-3 Communications Holdings Inc , the company said. [ID:nBNG489391]
RESEARCH ROUNDUP:
Following is a summary of research actions on Canadian companies reported by Reuters on Wednesday. For more, please double click [RCH/CA]
* Genuity raises Bank of Montreal price target
* RBC raises Alimentation Couche Tard price target
($1=$1.09 Canadian)
(Reporting by Ka Yan Ng, Editing by Chizu Nomiyama)