The Canadian Press

The Toronto stock market headed for a lower open Tuesday amid the latest U.S. earnings news and before the scheduled announcement by the Bank of Canada on interest rates.

The Canadian dollar was down 0.47 of a cent to US96.95¢ ahead of the statement. The central bank is widely expected to leave interest rates alone until at least the end of the second quarter.

U.S. futures indicated a negative open after U.S. bank Citigroup reported earnings with the Dow Jones industrial futures down 40 points to 10,523, the Nasdaq futures declined 3.25 points to 1,859 and the S&P 500 futures down 3.6 points to 1,128.7.

Citigroup posted a net loss of 33¢ a share, which was in line with estimates, but its stock was down about 1% in pre-market trading in New York.

Investors were already wary about earnings after disappointing reports from Alcoa and J.P. Morgan Chase & Co. last week. IBM Corp. is expected to release earnings later in the day.

In other earnings news, online brokerage TD Ameritrade Holding Corp. says lower interest rates and higher expenses contributed to a 26% drop in its first-quarter profit to US$136.2 million or 23¢ a share for most recent quarter. The showing missed analyst expectations by 3¢ a share. TD Bank (TSX:TD) owns a 45% stake in the brokerage, which also missed on revenue.

Kraft Foods Inc. and Cadbury PLC have agreed to an US$18.9 billion deal, but the announcement had little effect on trading. Investors are also showing little reaction to the unsurprising bankruptcy filing by Japan Airlines.

Energy stocks could weigh on the TSX as the February crude contract on the New York Mercantile Exchange dipped 19¢ to US$77.81 a barrel.

Metals were mixed with the February bullion contract on the Nymex down $1.30 to US$1,129.20 an ounce and March copper rose 3¢ to US$3.40 a pound.

Elsewhere on the corporate front, Sunoco retailers are suing Suncor Energy Inc. (TSX:SU) over the Calgary-based company’s plans to sell or rebrand their gasoline service stations. The retailers assert that Suncor’s plan for about 300 Sunoco locations has violated an Ontario law governing franchise agreements, and they claim they’re entitled to compensation.

Sun Life Financial has purchased naming rights to the Miami Dolphins’ stadium in time for the Super Bowl. A source requesting anonymity confirmed that Sun Life (TSX:SLF) has reached a five-year agreement with the team. The stadium, called Land Shark Stadium last year, will be renamed in time for the Pro Bowl on Jan. 31 and the Super Bowl the following Sunday.

Overseas, Japan’s Nikkei 225 stock average slipped 0.8%. Hong Kong’s Hang Seng gained 1% and China’s Shanghai index edged up 0.3%.

London’s FTSE 100 index fell 0.76% amid a report that the British inflation rate rose by a full percentage point to 2.9% in December. Analysts said higher than expected inflation in Britain would likely mean that the Bank of England will not be pumping any further money into the economy and that it may start raising interest rates sooner than anticipated.

Frankfurt’s DAX lost 0.89% following news that German investor confidence slipped by more than expected in January, partly because of ongoing concerns over the automobile and construction sectors. The Paris CAC 40 dropped 0.97%.