TORONTO, Nov 10 (Reuters) - Toronto's main stock index may
fall on Tuesday as softer key commodity prices may prompt
investors to prune positions after a five-session rally.

But positive quarterly reports from Britain's top two
banks, HSBC (HSBA.L: Quote, Profile, Research) and Barclays (BARC.L: Quote, Profile, Research), may help lift the
weighty banking sector and offset resources-led declines.

The UK banks signaled bad debts may be past their peak,
with HSBC declaring the first drop in U.S. consumer finance
impairments for three years. For more see [ID:nLA635993].

The S&P/TSX composite index .GSPTSE hit a two-week high
on Monday, and closed up 236.46 points, or 2.1 percent, at
11,486.88.

Here is some of the news that may affect the market

COMMODITY PRICES: GOLD, OIL EASES

Gold softened a touch in Europe but remained near record
highs as traders bet the U.S. currency's recovery would be
temporary. Spot gold XAU= hit an all-time high of $1,110.85
an ounce on Monday. [GOL/]

Oil prices CLc1 fell to around $79 a barrel as a
late-season hurricane subsided in the Gulf of Mexico and
traders awaited key U.S. inventory data. [O/R]

COMPANY RESULTS IN BRIEF

* ATS Automation (ATA.TO: Quote, Profile, Research) posts lower Q2 results
[ID:nBNG469234]

* Premium Brands (PBH.TO: Quote, Profile, Research) Q3 profit tops estimates
[ID:nBNG494593]

* Rona (RON.TO: Quote, Profile, Research) reports Q3 results [ID:nWNAB3693]

COSSETTE

Cossette Inc (KOS.TO: Quote, Profile, Research), Canada's largest home-grown advertising agency, said it has entered into an agreement to
be acquired and taken private by Mill Road Capital, a
Greenwich, Connecticut-based private investment firm, spurning
a lower bid from Cosmos Capital. [ID:nWNAB3681]

RESEARCH ROUNDUP: QUADRA MINING

Brokerages Blackmont and Desjardins cut their price targets
on Quadra Mining (QUA.TO: Quote, Profile, Research), while RBC raised its price target.
The Canadian copper and gold miner said on Monday its
third-quarter net income fell almost 30 percent.
[ID:nN0919714]

Other research actions on Canadian companies reported by
Reuters on Tuesday. [RCH/CA]

* UBS raises Royal Bank of Canada (RY.TO: Quote, Profile, Research) to "buy" from
"neutral"

* Macquarie cuts Ensign Energy Service (ESI.TO: Quote, Profile, Research) to
"neutral" from "outperform"

* Raymond James, Macquarie raise First Capital Realty
(FCR.TO: Quote, Profile, Research) price target

VENTURE CAPITAL

Activity in Canada's venture capital market hit a 14-year
low in the third quarter, tumbling 51 percent to $191 million
from the same period a year ago as uneasy investors stayed out
of the market. [ID:nTOE000061]
(Reporting by Ka Yan Ng; Editing by James Dalgleish)