TSX Looks To Edge Up At Open Toronto stocks may edge up at open Wednesday amid recovery in commodity prices. However, weak cues from the global equity markets may dent trader sentiment. While Asian markets ended mixed,European stocks were in the red amid worries over the euro zone sovereign debt situation after demonstrators protested against the proposed austerity measures.
On Tuesday, the S&P/TSX Composite Index added 88.28 points or 0.72% to 12,278.88
The price of crude oil was trading flat as traders await the official weekly inventories data from the EIA. Yesterday after the markets close, the API said U.S. crude oil inventories fell 2.4 million barrels, while gasoline inventories jumped 3 million barrels last week. Crude for November edged up $0.25 to $76.43 a barrel.
Gold stocks may be in play amid firm bullion prices. The price of gold continued to hit fresh highs amid a generally weak U.S. Dollar. Gold for December was up $0.40 to $1,308.70 an ounce, after hitting a record intraday high of $1,314.80.
In corporate news from Canada, mineral exploration company International Tower Hill Mines said it would be selling 10.4 million common shares at C$6.25 per share for C$65 million on a bought deal basis and privately place 4.9 million common shares at C$6.25 per share.
Gold and copper miner Northgate Minerals Corp. announced that it intends to offer $135 million of its convertible senior notes due 2016 in the US and Canada, mainly to finance a portion of the development costs of its Young-Davidson gold mine, Ontario.
Geophysical survey services provider Aeroquest International said its subsidiary got a 5-year photographic mapping and aerial photography services contract for a maximum of $10 million from the U.S. Army Corps of Engineers, St. Louis District.
Automotive electronics product maker Pacific Insight Electronics swung to profit in fourth quarter, reporting net income of C$316 thousand or C$0.06 per share, compared to a net loss of C$30 thousand or C$0.01 per share a year-ago.
Fertilizer maker Hanfeng Evergreen reported lower fourth quarter net income of C$9.6 million or C$0.15 per share, compared to C$11.21 million or C$0.19 per share in the prior year quarter.
Geothermal power company Magma Energy reported a wider fourth quarter net loss of $8.67 million or $0.04 per share from $1.88 million or $0.01 per share in the prior year quarter.
Healthcare company Centric Health Corp. said it acquired two pharmacies for C$7.0 million in cash. The acquisition will be accretive to its earnings in 2011 as these pharmacies generate annual revenue of about C$6.2 million and yield a market related EBITDA margin of 15-20%, the company said.
Wealth management company AGF Management reported improved third quarter net income of C$27.77 million or C$0.31 per share, up from C$22.74 million or C$0.25 per share last year.
Ondine Biopharma announced plans to consolidate its issued and outstanding common shares and to change its name to Ondine Biomedical Inc., to more accurately reflect the nature of its operations. Every 15 existing shares will be consolidated into one new share, bring the outstanding shares down to 8.45 million from the present 126.80 million.
In economic news, Statistics Canada said the Industrial Product Price Index increased 0.4% in August compared with July, led by primary metal products. The Raw Materials Price Index rose 2.2%, mainly as a result of higher prices for non-ferrous metals.