Source: The Canadian Press

The Toronto stock market could find lift at the open Wednesday from rising commodity prices a day after markets tumbled on further indications that the U.S. and Chinese economies are slowing down.

The Canadian dollar also made headway, rising 0.46 of a cent to 95.22 cents US after investors fled to the safe haven status of the U.S. dollar and pushed the loonie down more than one and three quarter cents US.

U.S. futures pointed to a flat open on some disappointing employment news two days before the release of the June non-farm payrolls report.

The Dow Jones industrial futures gained eight points to 9,805, the Nasdaq futures were up 3.5 points to 1,767 and the S&P 500 futures advanced a point to 1,036 after the ADP jobs report said that private sector payrolls expanded by only 13,000 last month.

Hopes have been modest for Friday’s data. Economists expect an overall drop of about 200,000 jobs largely because the government terminated many temporary jobs created for the U.S. census. They had also forecast that the private sector created about 50,000 jobs last month.

The August crude contract on the New York Mercantile Exchange rose 57 cents to US$76.51 a barrel, helped along by a report showing a larger than expected drop in U.S. crude supplies — a sign demand may be improving.

Demand worries pushed oil down 3% on Tuesday after an index that forecasts economic activity for China was revised lower and news that U.S. consumer confidence dived in June.

The latest indication that the global economy recovery is faltering pushed the TSX down 343 points while the Dow industrials tumbled 268 points.

Other commodity prices stabilized following sharp losses.

The September copper contract on the Nymex rose three cents to US$2.96 a pound after dropping 16 cents while the August bullion contract in New York was unchanged at US$1,242.40 an ounce.

Positive news from Europe helped investor sentiment Wednesday.

The European Central Bank said Wednesday it will lend euro131.9 billion (US$161 billion) to banks for three months — a smaller-than-expected sum that suggests banks’ cash needs are easing despite lingering worries about the eurozone debt crisis.

The loan came as a larger batch of 12-month loans is due to expire and sent a hopeful signal on the health of the banking sector and money markets.

And Germany’s unemployment rate declined to 7.5% in June thanks to an improving economy and a traditional springtime upturn.

In Asia, major indexes closed down as concerns lingered about Chinese growth and lower-than-expected U.S. confidence for June.

Japan’s Nikkei 225 stock average shed 2% and Hong Kong’s Hang Seng dropped 0.6%.

In corporate news, West 49 Inc. (TSX:WXX), the youth-oriented Canadian clothing and sporting goods retailer, has agreed to be acquired by Billabong International Ltd. for about $83 million.

Daylight Energy Ltd. (TSX:DAY) says it has struck a deal to sell some of its non-core eastern Alberta oil and natural gas assets to private company Gear Energy Ltd. for $125 million — $100 million in cash and $25 million in equity