CANADA STOCKS-TSX to open up as commodities rally, Greece eyed

March 8 (Reuters) - Toronto's main stock index looked set to open higher on Thursday, as commodity prices rallied on optimism Greece would pull off a critical bond swap deal.

Global share markets staged big gains as investors took heart from signs that Greece would complete the much needed private debt swap to avoid a chaotic default.

FACTORS TO WATCH

* Canadian equity futures pointed to a higher open.

* Bank of Canada rate decision: Sluggish domestic growth and uncertainty about the global economy will likely keep the Bank of Canada from raising rates until the second quarter of 2013, according to a Reuters survey.

* U.S. stock index futures jumped after a Greek official reported a strong uptake by investors for a debt swap that faces a deadline later in the day.

* European shares gained for a second day, moving further from one-month lows on optimism that Greece would win support from private creditors to avoid a messy default, with charts signaling more gains.

COMMODITY PRICE MOVES

* The Thomson Reuters-Jefferies CRB index, a global commodities benchmark, rose 0.55 percent in early trade.

* Oil rose, with prices topping $125 a barrel, on hopes that Greece would win enough creditor support to avoid a messy default on its debt and on continuing fears of supply disruptions from Iran.

* Gold rose, led by a climb in the euro on the back of growing confidence in Greece's ability to complete a bond swap to avoid defaulting on its debt, and by evidence that this week's decline to six-week lows had lifted investor demand.

* Copper rose more than 1 percent as investor confidence improved on hopes Greece would complete a debt swap and with a weaker dollar also supporting base metals; concerns however lingered over slack demand in top consumer China.

CANADIAN STOCKS TO WATCH

FFO increased about 12 percent, helped in part by higher oil production from its Saskatchewan operations.

* Canadian Pacific Railway Ltd. : The company, ratcheting up its defense in a proxy battle with its biggest shareholder, said on Wednesday its "strong" customer relationships are paying off and posted testimonials from satisfied companies.

ANALYST RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters.

* Allied Properties : Macquarie raises target to C$28 from C$27, rating outperform; National Bank Financial raises target to C$27.50 from C$26.25

* Colabor Group : National Bank Financial cuts to underperform from sector perform

* Canadian Zinc Corp. : Canaccord Genuity starts with a speculative buy rating

* Canyon Services : RBC raises price target to C$19 from C$16; rating outperform; CIBC raises price target to C$18 from C$17

* Churchill Corp. : Canaccord Genuity raises to buy from hold; RBC raises to outperform from sector perform

* Davis + Henderson : National Bank Financial cuts target to C$20.50 from C$21.50; CIBC raises price target to C$21 from C$20.50

* Petrobakken : Barclays raises price target to C$21 from C$19, rating overweight; Canaccord Genuity raises target to C$25.50 from C$24, rating buy