North American market futures are down again on Wednesday, suggesting stocks will see another day of selling as political and economic uncertainty in Europe continue to sour investor sentiment.
In Toronto, futures on the S&P/TSX are down 155.92 points, or 1.31 per cent. In New York, futures on the S&P 500 are down 5.86 points, or 0.43 per cent, and on the Dow Jones industrial average are down 76.44 points, or 0.59 per cent.
Investors remain preoccupied about Greece’s future status in the euro zone and whether the country will default on its debt in the coming weeks. The weekend’s election has yet to produce a new government, but key players in Athens’s parliament are scheduled to meet at 5 p.m. local time today to discuss forming a coalition government.
Major markets overseas are all down. In London and Paris, the benchmark indices fell more than 1 per cent. Spain’s market is down more than 3 per cent and Germany’s DAX is off 0.57 per cent.
China’s Hang Seng index dipped 0.75 per cent and Japan’s Nikkei 225 fell 1.5 per cent.
Economic data flow is light today. At 10 a.m. ET, the U.S. Commerce Department will release wholesaler inventories information for March. Economists expect national inventories to have risen 0.6 per cent, compared with 0.9 per cent in February. Inventory building helps boost the economy and can signal rising demand from consumers. Half an hour later, the U.S. Energy Information Administration will post the latest weekly information on petroleum inventories, a report that can affect oil prices.
Earnings on tap today include Enbrige Inc. and Agrium Inc. Earlier, Quebecor Inc. posted a 7 per cent gain in revenue and 52 per cent jump in profit. Tim Hortons Inc. reported a 5 per cent increase in same store sales in Canada and almost 9 per cent increase in the U.S., but earnings fell slightly short of expectations on the Street.
In Japan, Toyota Motor Corp. indicated that it had recovered from the disruptions of last year’s devastating tsunami, reporting that profit in the last quarter more than quadrupled. It said it expected to sell 8.7 million vehicles in the fiscal year through March 2013, 1.3 million more than the previous year.
After the market closes today, companies reporting include Telus Corp., Canadian Apartment Properties REIT, Pacific Rubiales Energy Corp, MI Developments Inc., RONA Inc., Onex Corp., Denison Mines and Linamar Corp. In the U.S., analysts expect the tech bellwether Cisco Systems to deliver a solid quarter.