Stock futures pointed to a higher opening for Canada's main stock index on Wednesday ahead of the U.S. Federal Reserve's monetary policy decision, with gold prices near five-month highs.
The S&P/TSX Composite Index kept its head above water 54.24 points to finish Tuesday at 14,416.89
The Canadian dollar inched higher 0.04 cents at 74.34 U.S. early Wednesday
December futures were up 0.5% Wednesday.
Canada's biggest grain handler, Richardson International, said on Tuesday that it had agreed to buy Wesson, a retail brand of canola and vegetable oils, from Conagra Brands.
CIBC cut the rating on Neo Performance Materials to neutral from outperform.
On the economic slate, Statistics Canada reported that the Consumer Price Index rose 1.7% on a year-over-year basis in November, following a 2.4% increase in October. Monthly CPI declined 0.2% in November.
ON BAYSTREET
The TSX Venture Exchange backtracked 3.6 points Tuesday to 543.19
ON WALLSTREET
U.S. stock index futures rose Wednesday morning on hopes that the Federal Reserve could decide to slow the pace of its interest rate hikes into 2019.
Futures for the Dow Jones Industrial Average rocketed 157 points, or 0.7%, to 23,766
Futures for the S&P 500 gained 16.5 points, or 0.7%, to 2,554.50,
NASDAQ futures were higher 36.75 points, or 0.6%, to 6,520.50.
The uptick in U.S. equities came despite a downturn in FedEx stock, which slid more than 6% in pre-market trading after the company lowered its 2019 earnings guidance and reported weakness in its international business.
Hardy Gross Domestic Product numbers and an unemployment rate at 3.7% are expected to keep Fed Chair Jerome Powell and his colleagues on track for a fourth and final time of 2018 when it concludes a two-day policy meeting on Wednesday.
The central bank will release its decision on interest rates at 2:00 p.m. ET, though many market participants said that they anticipate the Fed to signal that it will slow the pace of further increases to the federal funds rate in 2019.
Stocks were also supported Wednesday morning on news of a bipartisan Senate plan to avoid a government shutdown.
Overseas, in Japan, the Nikkei 225 faded 0.6% Wednesday, while in Hong Kong, the Hang Seng index gained 0.2%.
Oil prices gained 31 cents to $46.55 U.S. a barrel.
Gold prices settled $2.10 to $1,251.30 U.S. an ounce.
