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The Before the Bell report is constantly updated to reflect the latest news developments and market moves in the premarket. Check back later for updates.

North American stock futures were heading lower ahead of the opening bell, as the prospect of big changes ahead in central bank policy and U.S. banking regulations loomed large.

But gold was on the rise, up by nearly 2 per cent, which should provide a boost to the precious metals sector of the TSX. Bullion is benefiting from speculation that physical purchases may rise after prices recently hit a five-month low.

Futures for the Dow Jones industrial average and S&P 500 were down about 0.3 per cent. In Europe, stocks were down about 0.8 per cent and in Japan, the Nikkei 225 fell 0.3 per cent in overnight trading.

The Volcker Rule is expected to be approved, curbing the ability of banks to engage in so-called proprietary trading – or trading assets for their own profit. The idea here is to add one more layer of protection against a future financial crisis, but banks are complaining that the rules will also crimp their profits. Still, the rule is hardly a surprise, and most major U.S. financial stocks have been performing well over the past two months.

Markets continue to digest recent good economic news, and the rising probability that the news will encourage the Federal Reserve to taper its monthly bond purchases. Federal Reserve Bank of St. Louis president James Bullard said Monday that the recent strong jobs report has increased the chances of a stimulus reduction, but any tapering is likely to be slight given that inflation remains below the Fed's target.

In Canada, Lululemon Athletica Inc. announced that its co-founder Chip Wilson will step down as chairman of the yoga-wear retailer, replaced by Michael Casey. The company also announced that Laurent Potdevin will replace Christine Day as chief executive. Shares are up about 2.3 per cent in the premarket.

Here's a closer look at what's going on this morning and what is to come.

MARKETS:

Equities:

Futures: S&P 500 -0.30 per cent; Dow -0.34 per cent; Nasdaq -0.26 per cent; S&P Toronto -0.04 per cent

Hong Kong's Hang Seng -0.28 per cent

Shanghai composite index -0.05 per cent

Japan's Nikkei -0.25 per cent

London's FTSE 100 +0.11 per cent

Germany's DAX +0.14 per cent

France's CAC 40 +0.02 per cent

Commodities:

WTI crude oil (Nymex Jan) +1.14 per cent at $98.45 (U.S.) a barrel

Gold (Comex Dec) +2.02 per cent at $1,259.00 (U.S.) an ounce

Copper (Comex Dec) +0.46 per cent at $3.27 (U.S.) a pound

Currencies:

Canadian dollar at 94.01 (U.S.), vs. 94.03 at Monday's North American close.

U.S. dollar index down 0.04 at 80.08

Bonds:

U.S. 10-year Treasury yield 2.82 per cent, down 0.02

ECONOMIC INDICATORS:

No major reports scheduled.

STOCKS TO WATCH:

Lululemon said Chip Wilson is stepping down as chairman and Laurent Potdevin will become chief executive officer to replace Christine Day. Shares are up 2.3 per cent in the premarket.

General Motors announced that Dan Akerson will step down as chairman and CEO in January, and that Mary Barra, a global product development executive, will become the next CEO. Shares are down 0.7 per cent in the premarket.

Canadian Oil Sands Ltd. has tapped insiders to fill the company's top two executive positions, with Ryan Kubik taking over as its chief executive in the new year. The company has also released production guidance for next year that came in below some analysts' forecasts.

U.S. construction firm Toll Brothers reported fourth-quarter earnings of 54 cents per share, beating the Street estimate of 43 cents. Shares are up 4 per cent in the premarket.

Other earnings today include: H&R Block Inc.; Smith & Wesson Holding Corp.

ANALYST ACTIONS:

RBC Dominion Securities raised its price target on GM to $55 (U.S.) from $50 and reiterated an "outperform" rating. RBC's action was linked to the U.S. government selling its remaining stake and came before news of the company's CEO appointment.

Canaccord Genuity upgraded Transition Therapeutics to "speculative buy" from "hold" and raised its price target to $9.80 (Canadian) from $4.75.

Ascendiant Capital initiated coverage on Imax with a "buy" rating and $32 (U.S.) price target.

RBC Dominion Securities hiked its price target on The North West Co. to $28 (Canadian) from $25 and reiterated a "sector perform" rating.

RBC Dominion Securities downgraded Tenneco to "outperform" from a "top pick." Target stays at $66 U.S.

RBC Dominion Securities upgraded Johnson Controls to a "top pick" from "outperform." The price target was unchanged at $61 (U.S.).

THIS MORNING'S TOP INVESTING LINKS:

The U.S. stock market may be forming a dangerous triple top of major long-term significance.

When Canadians should use U.S.-listed ETFs, even when similar products are available in this country.

How major asset classes performed this year, and what it signals for investing in 2014.

The five reasons hedge funds underperform.

Market breadth is showing the bull market isn't over yet.

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For instant headlines on breaking economic and corporate news in the premarket, follow Darcy Keith on Twitter at @eyeonequities.

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