RTRS: TSX may open lower on weak China data, Fed outlook
(Reuters) - Toronto's main stock index looked set to open lower on Wednesday as commodity prices tumbled on renewed worries about U.S. growth prospects and weaker manufacturing data in China.
Canadian equity futures pointed to a lower open. <0#SXF:>. The Thomson Reuters-Jefferies CRB index .CRB, a global commodities benchmark, was down 0.53 percent in early trade.
Wall Street is also set for a lower start after the Federal Reserve's gloomier assessment of the economy continued to rattle investors and the central bank's measures to support the fragile recovery failed to reassure world markets. [.N]
China reported a slowdown in factory output, adding to the picture of softening domestic demand painted by other data a day earlier that showed a sharp drop in import growth. For details, see [ID:nTOE67A01A]
European shares fell as banks led a broad-based sell-off after the Bank of England inflation report echoed worries in the U.S. over the economic recovery.
Asian equities also tumbled, with Nikkei falling 2.7 percent, marking its worst day in nearly a month as a stronger yen deepened worries about the longer-term prospects for Japan's economy and the technical outlook darkened.
Here is some news that could affect stock prices:
OIL FALLS
Oil fell below $80 on Wednesday, as a report from the International Energy Agency (IEA) warned of risks to demand. Economic fears and a sharp fall in equities deepened bearish sentiment. [O/R]
COPPER SLIPS
Copper tumbled to its lowest in more than a week on Wednesday as confidence crumbled in the face of dollar strength and renewed worries about growth prospects in the United States, the world's largest economy. [MET/L]
GOLD SLIDES
Gold fell in Europe on Wednesday as a 1 percent rise in the dollar outweighed potentially supportive news that the U.S. Federal Reserve is holding interest rates at record lows and extending quantitative easing. [GOL/]
C$ EASES
The Canadian dollar extended its decline against the greenback on Wednesday morning as investors digested the Federal Reserve's pessimistic view of the U.S. economy, leading them to shed riskier assets. [CAD/]
