Even with the latest stimulus measures from the world's central bankers, investors are showing some clear signs of skepticism that equities can keep racking up gains. North American stock markets are heading towards a rather flat opening after three consecutive days of losses, with the bond-buying programs in the U.S. and Europe unable to zap persistent concerns over the global economy.
The market will be closely monitoring a couple of U.S. economic reports this morning on home prices and consumer confidence. Both are expected to show improvement, and any upside surprises could provide some fuel for a resumption of the rally.
Here in Canada, retail sales data for July came in stronger than expected, sparking immediate buying interest in the loonie. It reversed earlier morning losses and is now trading up 0.0013 at 1.0232.
Now, the rundown of what else you need to know as the investing day gets underway.
MARKETS:
Equities:
Futures: Dow +0.04 per cent, S&P 500 +0.01 per cent, Nasdaq +0.10 per cent
Hong Kong's Hang Seng index +0.02 per cent
Shanghai Composite index -0.21 per cent
Japan's Nikkei +0.25 per cent
London's FTSE 100 -0.07 per cent
France's CAC 40 -0.38 per cent
Germany's DAX index -0.33 per cent
Commodities:
WTI (Nymex Nov) +0.54 per cent at $92.43 (U.S.) a barrel
Gold (Comex Dec) +0.12 per cent at $1,766.70 (U.S.) an ounce
Copper (Comex Dec) +0.63 per cent at $3.76 (U.S.) a pound
Currencies:
Canadian dollar up 0.0013, or 0.12 per cent, at $1.0232 (U.S.)
STOCKS AND ECONOMIC INDICATORS TO WATCH:
Statistics Canada reported retail sales in July rose 0.7 per cent from June, beating economists' forecast for a 0.2 per cent monthly increase.
(0900 a.m. ET): The S&P/CaseShiller index of U.S. home prices in July is released. Economists expect an annual rise of 0.9 per cent.
(1000 a.m. ET): Conference Board releases U.S. consumer confidence index for September. In August, it fell 4.8 points to 60.6. Economists predict a recovery to 64.8.
Caterpillar said late Monday it expects earnings of $12 to $18 (U.S.) a share in 2015. It had previously expected earnings of $15 to $20 a share and the stock is down about 2 per cent in the premarket.
Electric car maker Tesla Motors cut its forecast for 2012 revenue on Tuesday because of a slower-than-expected rollout of its Model S sedan. The stock is down nearly 10 per cent in the premarket.
Research In Motion hit a fresh 10-year low on Monday and may probe further lows given ongoing bad news at the company.
Facebook shares are up nearly 1 per cent in the premarket after a nearly 10 per cent drop on Monday on a bearish analysis from Barron's.
Yahoo's new CEO, Marissa Mayer, is expected to outline to employees her plans to bolster the business, according to a report by AllThingsD, which cited an internal memo sent out by Mayer.
Earnings include Carnival Corp.
THIS MORNING'S TOP READS ON THE WEB:
Goldman Sachs strategists expect the "fiscal cliff" to push the market lower in the fourth quarter, and they recommend investors sell the stocks that have lagged so far this year.
The number of U.S. companies cutting dividends suggests recessionary forces are at work in the economy.
Why fund flows to ETFs will be an important driver of credit spreads for the foreseeable future.
Retail investors are jumping into syndicated loans.
Another bearish view on Apple, this one from Doug Kass of alternative investment firm Seabreeze Partners Management. He cites 10 concerns.
Profit-starved hedge fund managers, best known as masters of the financial universe, are turning to an unlikely place for their next windfall: the unglamorous world of long-only asset management.
Why housing stocks' big run may slow despite some recent promising data.
Morgan Stanley chief equity strategist Adam Parker believes the U.S. Fed soon will find its new quantitative easing program inadequate.
Darcy Keith