TSX flat as Federal Reserve meets

TORONTO (Reuters) - Canada's main stock index was little changed on Wednesday, with investors shifting their focus from a positive German court ruling on the euro zone's new bailout fund to caution over the U.S. Federal Reserve's meeting.

The Fed looks set to announce a third round of bond purchases after its meeting wraps up on Thursday, as it tries to drive borrowing costs even lower and breathe more life into an economy that is not growing quickly enough to reduce unemployment.

Analysts say high hopes are priced in and any disappointing words from the Fed could result in pronounced sell-offs.

"The market's been climbing the proverbial wall of worry and it's seen cautiousness all the way along," said Paul Hand, managing director at RBC Capital Markets.

Among the top advancers, Cenovus Energy added 1.6 percent to C$34.34, and Agrium jumped 2.5 percent to C$101.39.

Among the laggards, Potash Corp lost 1.3 percent to C$41.15 and Barrick Gold was down 1 percent to C$38.03.

The 19-commodity Thomson Reuters-Jefferies CRB index <.crb> was off 0.1 percent.

By 11:05 a.m. EDT (1505 GMT), the Toronto Stock Exchange's S&P/TSX composite index <.gsptse> had given up most of the day's early gains and was up 10.78 points, or 0.09 percent, at 12,231.23. Seven of the 10 sectors were still stronger.

Rogers Communications was the most influential name on the way up, climbing 2.4 percent to C$40.97. Bank of America Merrill Lynch analyst upgraded the telecom company to "buy" from "neutral."

Germany's Constitutional Court said the country can ratify the euro zone's new rescue fund and budget pact as long it can guarantee there will be no increase in German financial exposure to the bailout fund without parliament's approval.

The fund is seen potentially going a long way to solving the region's debt crisis, and news of the court ruling gave a lift to equities, commodities, riskier currencies and bonds of heavily indebted euro zone nations.

In individual company news, Niko Resources tumbled nearly 30 percent to C$9.60 and Petrominerales lost almost 14 percent to C$8.29, after both oil and gas producers disappointed investors with drilling updates from their respective Indonesian and Colombian operations, prompting analyst downgrades.

Dollarama was down 0.8 percent to C$58.85, despite reporting a jump in quarterly profit.

(Reporting by Claire Sibonney; Editing by Dan Grebler)

Source: http://news.yahoo.com/tsx-may-open-higher-german-court-ruling-124820260--finance.html

the legend of korra three stooges the three stooges the bee gees woodward keratosis pilaris rock and roll hall of fame 2012