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 lower this morning, as some fresh data out of Germany have rekindled concerns about the slow growth trajectory of the European economy at a time when many markets across the globe - including Canada's - are trading near all-time highs.
Futures for both the S&P 500 and S&P/TSX are down about 0.2 per cent, with overseas markets mixed but largely in the green. Most major commodities are modestly higher.
The German think-tank Ifo's business climate index for June fell to 109.7 points from 110.4 in May, its lowest point of this year and below economists' expectations of 110.3. It commented that companies in the country are less optimistic about future business developments.
Attention is now turning to a number of fresh U.S. economic reports, highlighted by several fresh readings on the housing sector, including the S&P/Case-Shiller housing price index, which came in below expectations. On Monday, the National Association of Realtors said sales of existing homes in May hit the fastest pace in seven months.
We detail more on the economic reports and what else is happening today below.
MARKETS:
Equities:
Futures: S&P 500 -0.19 per cent; Dow -0.14 per cent; Nasdaq -0.18; S&P/TSX -0.22 per cent
Hong Kong's Hang Seng +0.33 per cent
Shanghai composite index +0.48 per cent
Japan's Nikkei +0.04 per cent
London's FTSE 100 -0.26 per cent
Germany's DAX +0.01 per cent
France's CAC 40 +0.14 per cent
Commodities:
WTI crude oil (Nymex Aug) +0.06 per cent at $106.24 (U.S.) a barrel
Gold (Comex Aug) +0.50 per cent at $1,325.00 (U.S.) an ounce
Copper (Comex Sep) +0.14 per cent at $3.15 (U.S.) a pound
Currencies:
Canadian dollar at 93.23 (U.S.), up 0.0003
U.S. dollar index down 0.047 at 80.22
Bonds:
U.S. 10-year Treasury yield 2.61 per cent, down 0.03
ECONOMIC INDICATORS:
S&P/Case-Shiller 10-City and
20-City Composites posted annual gains of 10.8 per cent, significantly lower rate when
compared to last month.Nineteen of the 20 cities saw lower
annual gains in April than in March. Overall, the 20-city index rose 0.19 per cent from March, below expectations for a rise of 0.80 per cent.
(10 a.m. ET) New home sales data, Conference Board consumer confidence index and Richmond federal manufacturing index is released in the U.S. New home sales are expected to come in at 441,000 in May when annualized, up from 433,000 in April.
Charles Plosser, CEO of the Federal Reserve Bank of Philadelphia, speaks on economic outlook and monetary policy. And Federal Reserve Bank of San Francisco President John Williams takes part in a panel discussion on The Global Economy, the Budget and the Board.
STOCKS TO WATCH:
Media reports suggest Monsanto is considering a takeover bid for Swiss Agricultural firm Syngenta.
Abbott Laboratories confirmed late Monday it had agreed to buy Russian drug maker Veropharm.
AGF Management reported Q2 adjusted EPS of 17 cents (Canadian) vs. the Street estimated 18 cents.
Other earnings today include: Carnival Corp., H.B. Fuller Company, Hanwei Energy, Walgreen Co.
ANALYST ACTIONS:
TD Securities upgraded SNC-Lavalin Group to "buy" from "hold" and raised its price target to $64 (Canadian) from $58.
BMO Nesbitt Burns upgraded Methanex to "outperform" from "market perform" and hiked its price target to $73 (U.S.) from $68.
Canaccord Genuity raised its price target on Painted Pony Petroleum to $22 (Canadian) from $18 and maintained a "buy" rating while adding the company to its focus list of favourite stocks.
Canaccord Genuity cut its price target on Transition Therapeutics to $11 (Canadian) from $13.25 and maintained a "buy" rating.
Paradigm Capital raised its price target on HudBay Minerals to $12.25 (Canadian) from $11 and maintained a "buy" rating.
Raymond James raised its price target on Strad Energy Services to $5.50 (Canadian) from $4.80 and maintained an "outperform" rating.
Needham & Co. raised its price target on Apple to $97 (U.S.) from $86.32 and reiterated a "buy" rating, citing unexpected strength in March iPhone sales.
Goldman Sachs downgraded Dollar General to "buy" from "conviction buy" and maintained a $72 (U.S.) price target.
Baird downgraded Integrys Energy Group to "neutral" from "outperform" but raised its price target to $68 (U.S.) from $64.
Wells Fargo downgraded IntercontinentalExchange to "market perform" from "outperform" and lowered its price target range to $185-$205 from $205-$225.
BMO Nesbitt Burns upgraded Coeur d'Alene Mines to "market perform" from "underperform" and increased its price target of $9.50 (U.S.).
THIS MORNING'S TOP INVESTING LINKS:
Advice from the Canadian Couch Potato blog on when to rebalance your portfolio.
The S&P 500 has once again become overbought.
A surge in big mergers, as has been the case of late, can be a menace for shareholders.
Why small-cap stocks may soon close the gap with large caps.
How to lose $1-billion: A university blows its future on loser hedge funds.
-----
For instant headlines on breaking economic and corporate news in the premarket, follow Darcy Keith on Twitter at @eyeonequities.
Darcy Keith