Source: The Canadian Press

The Toronto stock market could be under pressure from the commodity sector at the open on Tuesday as oil prices back off for a fifth session.

U.S. futures also pointed to a negative open after Alcoa Inc. kicked off the U.S. first-quarter earnings season by missing analysts’ expectations.

The Dow Jones industrial futures declined 21 points to 10,931, the Nasdaq futures were down six points to 1,986.5 while the S&P 500 futures were off 2.6 points at 1,190.

The Canadian dollar slipped 0.01 of a cent to 99.66 cents US.

The May crude contract on the New York Mercantile Exchange was down 70 cents to US$83.64 a barrel even as the International Energy Agency revised slightly higher its 2010 forecast for global demand for oil.

Prices have headed lower since the middle of last week on data showing rising inventories.

On Tuesday, the IEA expressed concern that oil markets are “overheated.”

“While some see recovering demand having been sufficient to support the US$70-US$80 a barrel prices evident in the last eight months, they nonetheless raise questions over the sustainability of prices markedly higher than those levels,” the IEA said.

Meanwhile, gold prices weakened as the June bullion contract on the New York Mercantile Exchange declined $7.90 to US$1,154.30 an ounce while May copper was unchanged at US$3.57 a pound.

Dow component Alcoa reported Monday after the market closed that its first-quarter loss was smaller than a year ago because demand for some aluminum products has improved. But its adjusted earnings, which exclude one-time charges, still came up a penny short of analysts’ expectations and its revenue also fell below estimates. Its shares were down about 1.5% in pre-market trading in New York.

Chipmaker Intel Corp. and railroad operator CSX Corp. — both of which are considered bellwethers for their respective industries — report results after the market closes Tuesday.

In overseas developments, Greece was able to sell euro1.2 billion (US$1.63 billion) in short-term notes Tuesday in an auction that drew plenty of buyers. It was Greece’s first debt sale since details of the emergency rescue package were outlined over the weekend.

Asian stock markets mostly fell Tuesday as investors questioned whether the global economic recovery can support further gains to the yearlong equities rally.

Japan’s Nikkei 225 led decliners, down 0.8%. Australia fell 0.7% and Hong Kong skidded 0.2%.

London’s FTSE 100 index dipped 0.3%, Frankfurt’s DAX fell 0.34% while the Paris CAC 40 added 0.02%.

In other corporate news, France’s leading movie-theatre chain has agreed to install four digital theatre systems from Imax Corp. (TSX:IMX). Imax said the deal follows the success of EuroPalaces’ Disney Village Imax theatre in Paris, which has been recently upgraded to a digital projection system.

Viterra Inc. (TSX:VTA), one of Canada’s largest agribusinesses, is selling its half-ownership in the Australian Bulk Alliance. A subsidiary of Japan-based Sumitomo Corp. is paying A$8.6 million, or about C$7.9 million, to buy the remainder of the 50-50 Australian joint venture.

Paramount Energy Trust (TSX:PMT.UN) said Monday it has agreed to sell three properties producing a total of roughly 370 barrels of oil equivalent per day for $34.1 million in cash and stock. Paramount said it will receive $26.5 million in cash from the sale that will be used to reduce debt and shares in an unidentified public oil and gas company valued at $7.5 million.

Discount retailer Dollarama Inc. (TSX:DOL) said Monday that a group of its shareholders have signed a deal for a secondary offering of the company’s shares totalling $250 million.