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.
U.S. and Canadian stock futures are pointing up this morning, with commodities also moving north, as investors continue to shake off concerns about higher interest rates likely to arrive next year in the United States.
Stock futures are up in the 0.2 per cent to 0.3 per cent range, and European indexes are also firmly in positive territory. The S&P 500 rose 0.6 per cent on Thursday, bouncing back after falling on Wednesday as markets absorbed comments from Fed chair Janet Yellen that suggested rate hikes could come in the spring of 2015.
In some ways, that's good news, because it shows the Fed is confident enough that the slow but steady economic recovery in the U.S. will continue. On Thursday, there were several reports that, while relatively minor in importance, added up to paint a bright picture for the economy. U.S. jobless claims were a little lower than expected and leading indicators and a manufacturing sector reading for Philadelphia were all pretty positive.
Meanwhile, the big geopolitical concern of the month - Ukraine - is falling further into the background of the market's attention. On Thursday, the U.S. announced tougher sanctions on Russian government officials, but there's been little action suggesting further incursions into the Ukraine by Russia after the referendum in Crimea.
There was a big move in Chinese stocks overnight - to the upside. Shanghai stocks surged 2.73 per cent, aided by a rally in the real estate sector. On Thursday, regulators approved the private placement of shares of two firms, the first such approval in four years, and that has eased concerns about debt defaults in the sector.
The Canadian dollar jumped about half a cent as Canada released inflation and retail sales data at 830 a.m. (ET). Both readings were stronger than expected on a monthly basis, suggesting the next move by the Bank of Canada could be to move interest rates higher - and perhaps sooner than some expect.
Now, here's a closer look at what's going on this morning and what is still to come.
MARKETS:
Equities:
Futures: S&P 500 +0.24 per cent; Dow +0.20 per cent; Nasdaq +0.25 per cent; S&P Toronto +0.30 per cent
Hong Kong's Hang Seng +1.20 per cent
Shanghai composite index +2.73 per cent
Japan's Nikkei Closed for holiday
London's FTSE 100 +0.38 per cent
Germany's DAX +0.48 per cent
France's CAC 40 +0.35 per cent
Commodities:
WTI crude oil (Nymex May) +0.26 per cent at $99.15 (U.S.) a barrel
Gold (Comex Apr) +0.84 per cent at $1,341.70 (U.S.) an ounce
Copper (Comex May) +0.79 per cent at $2.95 (U.S.) a pound
Currencies:
Canadian dollar at 89.40 (U.S.), up 0.0046
U.S. dollar index down 0.04 at 80.15
Bonds:
U.S. 10-year Treasury yield 2.78 per cent, down 0.001
ECONOMIC INDICATORS:
Canada's consumer price index for February rose 0.8 per cent from January, higher than the expected 0.6 per cent and the fastest pace in a year. In January, the monthly increase was 0.3 per cent. On an annual basis, the inflation rate fell to 1.1 per cent in February from 1.5 per cent the previous month.
Canadian retail sales in January rose 1.3 per cent from December, beating the Street estimate of 0.8 per cent.
STOCKS TO WATCH:
BlackBerry shares are up 2.5 per cent in the premarket. It announced this morning that it will sell the majority of its real estate holdings in Canada, more than 3 million square feet of space, and will lease some of it back.
Loblaw's takeover of Shoppers Drug Mart has won approval of the Competition Bureau. The deal is now expected to close March 28.
Fairfax Financial has bought 3.4 per cent more of Torstar shares.
Tiffany reported quarterly profit of $1.47, below the Street vie of $1.52 and also provided guidance below analysts' expectations. Shares are down about 2 per cent in the premarket.
Nike reported Q3 adjusted profit of 73 cents a share, better than the Street estimate of 72 cents. The company warned a stronger dollar will remain a drag on earnings. Shares are down 3 per cent in the premarket.
Symantec shares are down 10 per cent in the premarket after the security -software maker fired its CEO late Thursday.
Media General and LIN Media announced a $1.6-billion (U.S.) cash and stock merger that will create the second largest pure-play television company in the U.S.
ANALYST ACTIONS:
Canaccord Genuity upgraded Parex Resources to "buy" from "hold" and hiked its price target to $10.50 (Canadian) from $9.
CIBC World Markets downgraded Newalta to "sector performer" from "sector outperformer" and kept a $20 (Canadian) price target.
Goldman Sachs downgraded Boeing to "neutral" from "buy" and cut its price target to $134 (U.S.) from $155, citing slower medium-term growth expectations for the aircraft maker.
Several research houses have downgraded Symantec, including MKM Partners, which lowered its rating to "sell" from "buy" and cut its price target to $17 (U.S.) from $26.
Susquehanna downgraded Lennar to "neutral" from "positive" and cut its price target to $43 (U.S.) from $46.
Goldman Sachs upgraded United Technologies to "buy" from "neutral" and raised its price target to $138 (U.S.) from $123.
Goldman Sachs downgraded ConAgra to "neutral" from "buy" and cut its price target to $31 (U.S.) from $33.
MKM Partners upgraded JDS Uniphase to "buy" from "neutral" and raised its price target to $18 (U.S.) from $15.
Wells Fargo upgraded City National to "outperform" from "market perform" and raised its price target range to $88-90 (U.S.) from $72-75.
CIBC World Markets hiked its price target on Smart Technologies to $6.50 (U.S.) from $4.50 and kept a "sector outperformer" rating.
THIS MORNING'S TOP INVESTING LINKS:
Three reasons why European stocks deserve another look.
Using your NCAA bracket to help your investing.
Individual investors can't make up their minds on whether they are bullish or bearish.
The stock market doesn't seem to be giving much if any weight to rising geopolitical risks.
Jim Cramer's most asked about stock? It's not Apple.
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For instant headlines on breaking economic and corporate news in the premarket, follow Darcy Keith on Twitter at @eyeonequities.
Darcy Keith