Stock futures pointed to a lower opening for Canada's main stock index on Wednesday after China retaliated in equal measure against the latest U.S. tariffs, sparking fears of an intensifying trade war and a flight to safer assets.
The S&P/TSX Composite Index retreated 32.69 points to close Tuesday at 15,180.76
The Canadian dollar lost 0.21 cents to 77.93 cents U.S. early Wednesday
June futures tumbled 1.5% Wednesday.
Saputo won approval from Australia's competition regulator for the planned $1-billion takeover of the country's largest dairy processor, Murray Goulburn Co-operative, after the Canadian company agreed to sell a key asset.
CIBC raised the price target on Step Energy Services to $24.00 from $22.00.
ON BAYSTREET
The TSX Venture Exchange drooped 14.33 points, or 1.8%, Tuesday to 769.30
ON WALLSTREET
U.S. stock index futures tumbled ahead of Wednesday's open, as concerns over a potential trade war between the U.S. and China intensified.
Futures for the Dow Jones Industrial Average fell 529 points, or 2.2%, to 23,455
S&P 500 futures doffed 41.5 points, or 1.6%, to 2,571. 75, while futures for the NASDAQ composite index slumbered 124.75 points, or 1.9%, to 6,344.50
Automakers were down sharply, with Ford down 3.3% and General Motors off 4%. Boeing was also slammed, falling more than 5% Caterpillar declined 4%, while United Technologies — another Dow component — fell 3.4%.
The moves in pre-market trade come as China announced brand-new tariffs on 106 U.S. products, including cars, whiskey, aerospace and defense, and soybeans.
Ahead of Friday's non-farm payrolls, investors will digesting the latest economic news, including the ADP National Employment Report. The report showed private companies added 241,000 jobs in March, more than the expected gain of 205,000.
The services purchasing managers' index (PMI) is scheduled for release at 9:45 a.m. ET. Meantime at 10 a.m. ET, non-manufacturing Institute for Supply Management report on business is due as well as factory orders.
Meanwhile, in Japan, the Nikkei 225 inched up 0.1%, and in Hong Kong, the Hang Seng Index sputtered 2.2%.
Oil prices docked 98 cents to $62.53 U.S. per barrel.
Gold prices surged $13.50 to $1,350.80 U.S. an ounce.
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