The Canadian Press

The Toronto stock market could be headed for a lower open Thursday following three straight days of gains as commodity prices eased.

But the TSX could find support from the financial sector amid major dealmaking involving two major Canadian brokerage firms and earnings results from TD Bank (TSX:TD) that beat expectations.

The Canadian dollar was ahead 0.33 of a cent to 97.23 cents US.

U.S. futures indicated a mixed open with the Dow Jones industrial futures ahead 13 points to 10,400, the Nasdaq futures were off 1.5 points to 1,850.5 while the S&P 500 futures rose 0.8 of a point to 1,119.4.

TD Bank reported its net income rose to $1.3 billion in its latest quarter, essentially doubling what it earned a year earlier. Adjusted net income was $1.43 billion or $1.60 a share, handily beating estimates of $1.35 a share. Revenue was a record $5 billion, also above estimates, while loan loss provisions declined.

Most of the big banks have handed in earnings over the past week with only Royal Bank (TSX:RY) narrowly missing expectations. Bank of Nova Scotia (TSX:BNS) reports quarterly earnings on Tuesday.

Canada’s biggest independent brokerage Canaccord Financial Inc. (TSX:CF) has acquired Toronto-based Genuity Capital Markets for about $286 million. The companies announced early today that Canaccord will pay about $232-million of the price in stock and $30 million in cash.

Canaccord Financial to buy Genuity for $286 million

Oil prices declined slightly with the April crude contract on the New York Mercantile Exchange down a dime to US$80.77 a barrel.

April gold on the Nymex was down $4.30 to US$1,139 an ounce while May copper was off one cent to US$3.42 a pound.

Investors will focus on the TSX telecom sector after the Conservative government announced in its Throne Speech Wednesday that the industry is being thrown open to both venture capital and investment from outside the country. The move would set the stage for more wireless players and possibly lower rates for cellphones and other telecom services.

Currently, Canada’s wireless market is dominated by three players _ Bell (TSX:BCE), Rogers (TSX:RCI.B) and Telus (TSX:T).

Meanwhile, investors are cautious of making big moves ahead of the premier economic report of the week, the U.S. non-farm payrolls report for February.

Ahead of that report, investors will take in the latest reading on U.S. jobless claims later in the morning, along with a report on factory orders from the Commerce Department which is expected to show the industrial sector is continuing to rebound. Economists forecast orders grew 1.8 per cent last month after rising one per cent in January.

The Commerce Department report is due out at 10 a.m. EST.

Meanwhile, economists predict an index measuring signed contracts to buy previously occupied homes rose to 97.6 in January, from 96.6 a month earlier.

Meanwhile, many U.S. retailers are reporting solid sales gains for February, even in the face of falling consumer confidence and heavy snowstorms that hammered the East Coast. Macy’s, Limited Brands Inc. and The Wet Seal Inc. posted results that beat Wall Street analysts’ expectations.

In other earnings news, Canadian Natural Resources Litd (TSX:CNQ) handed in quarterly net earnings of $455 million, down from $1.77 billion a year ago. The company also said it is raising its quarterly dividend by 43 per cent to 15 cents a share.

Overseas, London’s FTSE 100 index slipped 0.1 per cent, Frankfurt’s DAX was down 0.24 per cent and the Paris CAC 40 declined 0.13 per cent.

Japan’s Nikkei 225 stock average fell 1.1 per cent while Hong Kong’s Hang Seng dropped 1.4 per cent.