Luke KawaThe Globe and Mail
The Before the Bell report is updated throughout the premarket to reflect the latest news developments and market moves. Check back later for updates.
U.S. equity futures are marginally negative this morning, after earlier trading slightly positive, as the world continues to focus on the unfolding negotiations in Europe.
A Greek official told Reuters the country is close to reaching an agreement with its creditors ahead of the Eurogroup meeting, but that the other side would need to make concessions for it to be completed.
This news gave North American futures and European equities a lift.
"The European debt crisis has taught us to expect an eleventh hour deal every time and this is clearly seen in the lack of concern in the Eurostoxx index, the EUR and peripheral bonds," writes IG chief market strategist Chris Weston. "This does concern me, as there is always the chance that Greece backtracks or Germany walks away on a technicality in the wording; from a trading perspective there is always the risk of a 'buy the rumour, sell the fact' type event playing out."
Meanwhile, green shoots continue to appear in the European economy. The euro zone's flash manufacturing Purchasing Managers' Index (or PMI) ticked up to 51.1 in February, a reading that suggests a slight increase in the rate of the sector's growth. This print, however, came in below economists' expectations.
Japan's Nikkei rose to a fresh 15-year high despite the revelation that the nation's flash manufacturing PMI slowed a slowdown in the pace of growth for the sector.
West Texas Intermediate oil futures, meanwhile, are steady ahead of the Baker Hughes Rig Count due out this afternoon. Thus far, a decrease in rigs has not translate into a decrease in production, though updates on tumbling rig counts have provided support for the price of oil in recent weeks.
Details on upcoming earnings, market results and a preview of the day's key economic releases can be found below.
MARKETS:
Futures:
S&P 500 -0.3 per cent; Dow -0.2; Nasdaq -0.1 per cent
Equities:
Hong Kong's Hang Seng Closed for holiday
Shanghai composite index Closed for holiday
Japan's Nikkei +0.37 per cent
London's FTSE 100 +0.26 per cent
Germany's DAX +0.37 per cent
France's CAC 40 -0.30 per cent
Stoxx 600 +0.15 per cent
Commodities:
WTI crude oil (Nymex Apr) -0.04 per cent at $51.81 (U.S.) a barrel
Natural gas (Nymex Apr) +1.95 per cent at $2.93
Gold (Comex Apr) +0.30 per cent at $1,211.20 (U.S.) an ounce
Copper (Comex May) -0.78 per cent at $2.60 (U.S.) a pound
Currencies:
Canadian dollar at 80.36 (U.S.), up 0.0034
U.S. dollar index up 0.20 at 94.61
Bonds:
U.S. 10-year Treasury yield 2.10 per cent, down 0.01
ECONOMIC INDICATORS:
Canadian retail sales declined by 2 per cent month-over-month in December, far below the consensus estimate for a 0.4 per cent decline. Excluding autos, sales declined by 2.3 per cent, worse than economists' expectations for a 0.8 per cent drop.
(8:30 a.m. ET) The U.S. reports its consumer price index revisions.
(9:45 a.m. ET) Markit releases its February flash manufacturing PMI for the United States.
STOCKS TO WATCH:
Enbridge Inc. posted fourth-quarter adjusted earnings per share that came in shy of analysts' expectations - 49 cents vs. the Street's 53 cents.
Enerplus Corp. cut its monthly dividend to $0.05 from $0.09 and reduced its 2015 capital budget to $435-million from $635-million in December.
Fairfax Financial Holdings Limited announced a $650-million bought deal equity offering after the close on Thursday to finance its purchase of Brit PLC.
First Quantum Minerals reported adjusted profit of 13 cents (U.S.) versus the Street estimate of 16 cents.
Baytex Energy Corp. cut its production guidance and capital budget in response to lower oil prices.
Nordstrom Inc. missed the consensus estimate on fourth-quarter adjusted profits, but said same-store sales growth bested management's expectations and is targeting revenue growth of up to 9 per cent for the year ahead.
Deere & Co. reported EPS of $1.12 vs. Street expectations of 83 cents. But it cut its 2015 earnings forecast.
Other earnings expected: Copper Mountain, Enerplus, Onex, Barnes Group Inc., Boise Cascade Co., Cabot Oil & Gas Corp., Choice Hotels International Inc., Health Care REIT Inc., Iron Mountain Inc., Stillwater Mining Co., William Lyon Homes.
ANALYST ACTIONS:
West Fraser Timber Co. Ltd. was downgraded to "hold" from "buy" at TD Securities.
Black Diamond Group Ltd. was raised to "outperform" from "market perform" by Raymond James.
Chorus Aviation Inc. was cut to "hold" from "buy" by TD Securities.
Finning International Inc. was upgraded to "outperform" from "market perform" at Raymond James.
The Weir Group PLC was raised to "buy" from "neutral" by Goldman Sachs.