Futures for Canada's main stock index rose on Wednesday as crude oil prices reached 11-month highs, helped by a fall in U.S. inventories, while optimism over U.S. fiscal stimulus also lifted sentiment.
The S&P/TSX Composite leaped 182.04 points, or 1%, to end Tuesday at 17,874.49.
The Canadian dollar eked back 0.06 cents to 78.15 cents U.S.
March futures gained 0.1% Wednesday.
Imperial Oil posted a quarterly loss on Tuesday and warned that the hit to fuel demand resulting from the coronavirus pandemic may drag on well into 2021.
Scotiabank cut the target price on TMX Group to $148.00 from $152.00
Canaccord Genuity raised the target price on Onex Corp. to $88.00 from $84.00
CIBC raised the target price on Linamar Corp. to $83.00 from $81.00
Canada has signed its first deal to allow a foreign coronavirus vaccine to be manufactured domestically, Prime Minister Justin Trudeau said on Tuesday as new cases began to drop steadily.
ON BAYSTREET
The TSX Venture Exchange gained 2.57 points Tuesday to 963.41.
ON WALLSTREET
S&P 500 futures rose slightly early Wednesday as investors cheered strong earnings from Google’s parent Alphabet and Amazon.
Futures for the Dow Jones Industrials docked 26 points, or 0.1%, to 30,560.
Futures for the S&P 500 acquired 10 points, or 0.3%, at 3,828.25.
Futures for the NASDAQ Composite jumped 82 points, or 0.6%, to 13,531.
Stocks rallied for the second day on Tuesday, with the Dow Jones Industrial Average gaining more than 475 points for its best day since November. Investors returned to buying equities after the Reddit-fueled action that shook markets last week. The Dow is up 2.35% this week.
Shares of Alphabet surged more than 7% in premarket trading after the technology giant reported 23% revenue growth and topped estimates for earnings, boosted by Google’s recovering advertising business.
Amazon reported earnings nearly doubled Wall Street estimates, while delivering its biggest revenue of all time at $125.56 billion, pushing it past the symbolic $100 billion mark for the first time.
The e-commerce leader also announced that Jeff Bezos was stepping down as CEO. Amazon’s stock traded 2.7% higher in pre-market trading.
After a meteoric, albeit seemingly synthetic rise in GameStop last week caused by a short squeeze, shares have cratered more than 70% this week. Other Reddit trades have also come back down to Earth amid trading restrictions from major brokers. GameStop dipped slightly in pre-market trade on Wednesday.
Earnings season continues on Wednesday with chipmaker Qualcomm, eBay, PayPal and Yum China reporting after the market closes.
Investors are also monitoring negotiations in Washington surrounding another stimulus package. President Joe Biden met with the 10 Republican senators on Monday to discuss an alternative, smaller aid proposal to his $1.9-trillion package.
Private payroll data from January is released Wednesday from ADP. Economists polled by Dow Jones are expecting private-sector jobs grew by 50,000 in January, compared to the loss of 123,000 in December.
Overseas, in Japan, the Nikkei 225 hiked 1%, while in Hong Kong, the Hang Seng index inched up 0.2%.
Oil prices popped 51 cents to $55.27 U.S. a barrel.
Gold prices soared $4.90 to $1,838.10 U.S.
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