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Jan. 18, 2010 (Baystreet.ca) --
Canadian stocks opened slightly positive on Monday as commodity prices edged up. Traders may resort to bottom fishing at lower levels as the Canadian market has slipped to a 2-week low on Friday, erasing all the gains it had made so far in 2010.
The S&P/TSX Composite Index gained 31.59 points in the first half-hour of trading to 11,716.96
However, upside may be capped on anxiety over forthcoming earnings announcements by major Canadian companies, including Potash Corp and Canadian National Railways, due in the coming weeks.
Analysts see a downward pressure on oil as corporate earnings results so far have not really indicated much revenue growth, which points to continued weakness in the U.S. economy. Rising loan losses at JPMorgan Chase & Co. sparked concerns about profits at other big banks.
Bank of America, Citigroup, Goldman Sachs, Morgan Stanley and Wells Fargo & Co. are scheduled to report their earnings this week.
In corporate news, gold miner Lihir Gold announced that its Chief Executive Arthur Hood has resigned on Sunday.
Canadian Satellite Radio said it first quarter adjusted operating loss narrowed to $1.0 million from $2.90 million a year ago, while reporting a 19% growth in its subscriber base.
Petroleum and natural gas developer Penn West Energy Trust said Friday that it has closed the previously announced asset swap. Penn West exchanged certain interests in the Leitchville area of Saskatchewan for interests complimenting Penn West's light oil resource plays at Pembina and at Dodsland.
In addition, Penn West received cash consideration of $434 million, prior to closing adjustments.
Mineral properties developer Fortuna Silver Mines announced that its common shares will be listed and begin trading on the Toronto Stock Exchange at the opening of trading on January 18, under current symbol, FVI.
Fuel cell product maker Ballard Power Systems said it has acquired a controlling interest in Denmark-based Dantherm Power, partnering with co-investors Danfoss A/S and Dantherm A/S. Ballard is investing $6 million for a controlling interest in Dantherm Power.
Construction engineering services provider Pure Technologies said it plans to offer shares by February.
Engineering technology provider ProSep Inc. said it was awarded a $3.5-million contract to provide gas membrane equipment to a large independent North-American oil and gas company
In brokerage updates, UBS cuts TransAlta Corp. rating to "neutral" from "buy" and raises Finning International price target to $21 from $19.
Mortgage services provider Abode Mortgage Holdings announced that Alistair Taylor has resigned as a President of the company, effective January 15.
Statistics Canada said Monday that foreign investors acquired a further $10.5 billion of Canadian securities in November. At the same time Canadian residents acquired $2.4 billion of foreign securities.
The Canadian dollar climbed 0.43 cents to 97.50 cents U.S.
ON BAYSTREET
Of the 14 TSX subgroups, nine were higher soon after the opening. Materials were up 0.8%, followed by gold stocks and the metals and mining group, dead-heated at 0.6% each.
Health-care was the worst off of the five laggards, sliding 1.1%, while global base metals and utilities were down 0.1% each.
The TSX Venture Exchange gained 4.15 points to 1,593.31, while the Nasdaq Canada index subtracted 7.43 points to 730.92.
ON WALLSTREET
U.S. markets had Monday off for Martin Luther King Day.