Futures Promise Strong Start for TSX

Rogers, Titan in Focus

Futures rose for equities in Canada’s largest market on Friday, supported by higher oil prices, while investors also awaited data on monthly domestic jobs due later in the day.

The TSX dropped 249.08 points, or 1.5%, to end Thursday at 16,448.89.

The Canadian dollar gained 0.28 cents Friday to 76.25 cents U.S.

September futures moved ahead 0.3% Friday.

Cable operator Altice USA and Rogers Communications said on Thursday they will pursue deal talks for Cogeco Inc's assets after a $10.3-billion bid was rejected by the Canadian telecom company's board.

Scotiabank raised the rating on Titan Mining to sector perform from sector underperform, the target price to $0.50 from $0.10.

On the economic beat, Statistics Canada reported the economy grew by 246,000 (or 1.4%) in August, compared with 419,000 (or 2.4%) in July. The unemployment rate fell 0.7 percentage points to 10.2% in August.

Combined with gains of 1.2 million in May and June, this brought employment to within 1.1 million (or 5.7%) of its pre-COVID February level.

Also, later on this morning, Western University’s IVEY School of Business gives out its Purchasing Managers Index (PMI) for August.

ON BAYSTREET

The TSX Venture Exchange crumbled 19.29 points, or 2.6%, Thursday to 730.35.

ON WALLSTREET

U.S. stock futures indicated a mixed open on Friday as tech shares struggled after a big one-day selloff.

Futures for Dow Jones Industrials moved up 43 points, or 0.2%, early Friday, to 28,394.

Futures for the S&P 500 eased back 2.25 points, or 0.1%, at 3,459.25.

Futures for the NASDAQ Composite still filed backward 115.25 points, or 1%, to 11,685.25.

Traders also digested a key U.S. jobs report Friday, which revealed the stateside economy created 1.37 million jobs, running the unemployment rate down to 8.4%. Economists polled by Dow Jones projected the U.S. economy to have added more than one million jobs last month.

In pre-market trading Friday, Apple was lower by 2.5%. Tesla, which plunged 9% on Thursday, fell by 5% in the pre-market. Facebook, Amazon and Netflix were also in the red in early trading.

The steep declines in tech shares come after the space drove the lion’s share of the broader market’s comeback off the coronavirus selloff lows. Since March 23, the S&P 500 tech sector is up about 70%. For the year, tech has rallied more than 30%.

Overseas, in Japan, the Nikkei 225 stepped backward 1.1% Friday, while in Hong Kong, the Hang Seng index sank 1.3%.

Oil prices inched up 10 cents to $41.47 U.S. a barrel.

Gold prices regained seven dollars to $1,944.80.