May 26 (Reuters) - Stock futures pointed to a higher start
for Canada's main stock index on Thursday as oil prices broke
above $50 per barrel for the first time in nearly seven months
after a global supply glut showed signs of easing.
June futures on the S&P TSX index SXFc1 were up 0.31
percent at 7:15 a.m. ET.
Oil prices have rallied in recent weeks after a string of
outages, due mainly to wildfires in Canada and unrest in Nigeria
and Libya, knocked out nearly 4 million barrels per day of
production.
No major economic events are scheduled for the day.
Canada's main stock index hit a nine-month high on
Wednesday, led by energy and financial stocks as oil rose and
investors grew more comfortable with the prospect of a U.S.
interest rate hike as early as next month.
Dow Jones Industrial Average e-mini futures 1YMc1 were up
0.16 percent at 7:15 a.m. ET, while S&P 500 e-mini futures
ESc1 were up 0.1 percent and Nasdaq 100 e-mini futures NQc1
were up 0.16 percent.
TOP STORIES
Royal Bank of Canada ( RBC ) RY.TO said bad loans increased
by C$583 million, or 19 percent, in the second quarter from the
quarter before, largely due to a rise in credit to oil firms
that had turned sour.
Canadian Imperial Bank of Commerce CM.TO reported a 3.5
percent rise in quarterly profit, helped by growth in its retail
and business banking division.
Borrowing activity by Canadian small businesses fell for the
fourth month in a row in March, data from PayNet showed,
suggesting firms' appetite for investment remained weak and
boding poorly for economic growth. AT 7:15 a.m. ET COM/WRAP
Gold futures GCc2 : $1,229; +0.42 pct GOL/
US crude CLc1 : $49.84; +0.54 pct O/R
Brent crude LCOc1 : $50.09; +0.70 pct O/R
LME 3-month copper CMCU3 : $4,689.50; +0.76 pct MET/L
ANALYST RESEARCH HIGHLIGHTS
Bank of Montreal BMO.TO : Barclays (LON:BARC) raises target price to
C$70 from C$65
Kinross Gold Corp K.TO : Canaccord Genuity raises rating to
"buy" from "hold"
Prometic Life Sciences PLI.TO : NBF resumes coverage with
"outperform"; price target C$4.90
U.S. ECONOMIC DATA DUE ON THURSDAY
0830 Durable goods for Apr: Expected 0.5 pct; Prior 1.3 pct
0830 Durables ex-transport for Apr: Expected 0.3 pct; Prior
-0.2 pct
0830 Durables ex-defense mm for Apr: Prior -1.1 pct
0830 Nondefense cap ex-air for Apr: Expected 0.4 pct; Prior
-0.8 pct
0830 Initial jobless claims: Expected 275,000; Prior 278,000
0830 Jobless claim 4-week Average: Prior 275,750
0830 Continued jobless claims: Expected 2.146 mln; Prior
2.152 mln
1000 Pending Homes Index for Apr: Prior 110.5
1000 Pending sales change mm for Apr: Expected 0.6 pct;
Prior 1.4 pct
1100 KC Fed Manufacturing for May: Prior -8
1100 KC Fed Composite Index for May: Prior -4
($1 = C$1.29)