Equities in Canada’s most populous centre were set to open higher on Wednesday as crude oil prices recovered, while investors were cautious ahead of Bank of Canada's decision later in the day, where it is expected to announce a 75-basis-point hike to tamp down surging prices.
The TSX plummeted 182.58 points, or 1%, to close on Tuesday at 19,088.27.
Futures crept up 0.2% Wednesday.
Economically speaking, Canada's merchandise exports decreased 2.8% in July, while imports were down 1.8%. As a result, Canada's merchandise trade surplus with the world narrowed from $4.9 billion in June to $4.1 billion in July. So far in 2022, trade surpluses have been observed in every month.
Canada's headline inflation rate eased to 7.6% in July from 8.1% in June, but it is still nearly four times the central bank's 2% target. Meanwhile, gross domestic product data last week showed
The central bank’s decision is due at 10 a.m. Also available at that hour is the PMI from the IVEY School of Business for August.
Economically speaking, Canada's merchandise exports decreased 2.8% in July, while imports were down 1.8%. As a result, Canada's merchandise trade surplus with the world narrowed from $4.9 billion in June to $4.1 billion in July. So far in 2022, trade surpluses have been observed in every month.
ON BAYSTREET
The TSX Venture Exchange erased 8.45 points, or 1.3%, Tuesday to 623.57.
ON WALLSTREET
Stock futures were flat Wednesday after the major averages added to weeks of losses amid a jump in bond yields in the previous session.
Futures for the Dow Jones Industrials docked nine points early Wednesday to 31,157.
Futures for the S&P 500 fell 1.75 points to 3,908.75 to 12,014.50.
Pinterest shares rose more than 4% after Wolfe Research upgraded the social media company to outperform from peer perform.
On Wednesday, the Federal Reserve will give its summary on current economic conditions, also known as the Beige Book. Elsewhere, Fed presidents Loretta Mester of Cleveland and Tom Barkin of Richmond, as well as Fed Vice Chair Lael Brainard are scheduled to speak at various events.
In Japan, the Nikkei 225 index lost 0.7% Wednesday, while in Hong Kong, the Hang Seng fell 0.8%.
Oil prices dumped 21 cents to $86.67 U.S. a barrel.
Gold prices gained 70 cents to $1,713.60 U.S. an ounce.
