Stocks in Canada’s largest market edged higher on Friday after the U.S. Senate approved a budget blueprint that paves the way for tax cuts, raising speculation on the return of the "Trumpflation trade", and ahead of inflation data.
The S&P/TSX Composite Index gained 35.84 points to end Thursday at 15,818
The Canadian dollar faded 0.07 cents at 80.04 cents U.S. Friday morning.
December futures gained 0.2% Friday morning.
British Business Secretary Greg Clark will hold talks in Canada on Friday to discuss Airbus SE's plans to buy a majority stake in Bombardier's C-Series jetliner program aimed at helping it avoid high U.S. import tariffs.
Canaccord Genuity raised the price target Kinross Gold to $8.00 from C$7.75
Canaccord Genuity cut the price target on Sandstorm Gold to $9.50 from $10
On the economic beat, Statistics Canada reported that the consumer price index rose 1.6% on a year-over-year basis in September, following a 1.4% increase in August.
On a seasonally adjusted monthly basis, the Consumer Price Index was up 0.2% in September, matching the increase in August.
The agency said retail trade declined 0.3% in August to $48.9 billion, after increasing 0.4% in July. Sales were down in eight of 11 sub-sectors, representing 57% of retail trade.
ON BAYSTREET
The TSX Venture Exchange dropped 2.62 points Thursday to 782.07
ON WALLSTREET
U.S. stock index futures pointed to a strong positive open Friday, after the GOP moved closer to reaching tax reform.
Futures for the Dow Jones Industrials gained 75 points, or 0.3%, to 23,193.
S&P 500 futures advanced 5.25 points, or 0.2%, to 2,566.75, while futures on the NASDAQ Composite index gained 13 points, or 0.2%, to 6,110.75.
The Senate approved a $4-trillion budget measure Thursday, taking a crucial step toward Republicans' goal of passing a tax plan this year.
The chamber approved the budget resolution by a 51-49 vote. Tax reform expectations had increased recently, helping lift U.S. stocks to record highs.
Wall Street also paid attention to corporate earnings as Baker Hughes, General Electric and Honeywell all reported quarterly results. Dow-component GE reported weaker-than-expected earnings and cut its 2017 earnings guidance, sending its stock down 7% in the pre-market.
Elsewhere, existing home sales figures for September are set to be published at 10 a.m. ET.
Meanwhile, the question of who will take on the position of chair at the Federal Reserve next year continues to keep investors on edge this trading day.
When it comes to news in that area, U.S. President Donald Trump has reportedly completed interviews with all five of the candidates that he's considering for the role, including current Chair Janet Yellen. A decision that could potentially even be announced next week
Overseas, European stocks were posting gains approaching noon on the continent Monday, while Japan’s Nikkei 225 took on 9.12 points, while in Hong Kong, the Hang Seng Index leaped 1.2%
Oil prices dropped 40 cents to $50.89 U.S. per barrel.
Gold prices fell $4.50 to $1,285.50 U.S. an ounce.
