Futures linked to Canada's resource-heavy main stock index gained on Monday, tracking higher metal prices as investors prepare for a week packed with crucial economic reports and corporate earnings.
The TSX dwindled 350.32 points, or 1.2%, to 30,108.48. Still, on the week, the index gained 257.6 points, or 0.8%.
December futures advanced 0.4% Monday.
The Canadian dollar nosed ahead 0.04 cents to 71.23 cents U.S.
Metal prices provided a tailwind for Canadian futures on the day, with gold inching higher after a record rally, as expectations of more U.S. rate cuts and safe-haven demand from the ongoing government shutdown supported sentiment.
In the economic docket, Statistics Canada said its Industrial Product Price Index increased 0.8% month over month in September and gained 5.5% year over year. Meanwhile, the Raw Materials Price Index increased 1.7% month over month and rose 8.4% year over year.
ON BAYSTREET
The TSX Venture Exchange collapsed 41.78 points, or 4.2%, to 965.58. The index went from hefty winnings last wee, to losses of 15.2 points, or 1.55%.
ON WALLSTREET
Stock futures moved higher Monday as investors turn their attention towards a slew of big-name earnings reports and inflation data expected in the coming days.
Futures for the Dow Jones Industrials gained 90 points, or 0.2%, to 46,471.
Futures for the S&P 500 moved ahead 21 points, or 0.3%, to 6,723.50.
Futures for the NASDAQ popped 101.25 points, or 0.4%, to 25,087.75.
This week, several large companies are expected to report quarterly results. Netflix, Coca-Cola, Tesla and Intel are among the names on deck.
The September consumer price index is also set for release on Friday and is expected to show inflation remains hot. Traders will be paying special attention to the report, given the ongoing data blackout caused by the shutdown.
Helping sentiment to start the week was a report from The Wall Street Journal that said President Donald Trump in recent weeks has exempted dozens of products from reciprocal tariffs. The report added the administration was considering exempting hundreds more goods, reflecting an increasingly shared sentiment among administration officials that the U.S. should lower duties from some goods that are not domestically produced.
Stocks are coming off a volatile trading week, ultimately closing higher despite flaring tensions between the U.S. and China, a sell-off sparked by regional bank losses and declines in a few high-flying artificial intelligence names.
A strong start to the third-quarter earnings season appears to be lifting sentiment, alongside investors’ anticipation of another quarter percentage point rate cut at the Federal Reserve’s late October meeting.
The three major U.S. indexes edged higher on Friday after Trump appeared optimistic on a potential trade deal with China ahead of his meeting with Chinese President Xi Jinping later this month in South Korea.
Treasury Secretary Scott Bessent also said Friday that he thinks “things have de-escalated” with China and that he will likely be meeting with counterpart Chinese Vice Premier He Lifeng in the coming week. These comments suggested to traders that Trump’s threat of an additional 100% tariff on Chinese imports beginning Nov. 1 may not happen.
In Japan, the Nikkei 225 popped 3.4% Monday, while in Hong Kong, the Hang Seng jumped 2.4%%.
Oil prices fell back 41 cents to $57.13 U.S. a barrel.
Gold prices sprinted $83.00 to $4,296.300 U.S. per ounce.
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