Futures for Canada's stock benchmark climbed higher on the first day of trading in 2023, with an uptick in gold prices supporting the commodity-heavy index.
The TSX Composite slid 100.97 points to finish Friday, December and the year 2022 at 19,384.92. On the week, the index was tagged 121.78 points, or 0.62%.
Over 2022, the main index lost 1,837 points, or 8.66%.
Futures on the S&P/TSX index gained 0.2% Tuesday morning.
The Canadian dollar let go of 0.57 cents to 73.18 cents U.S.
Among single stocks, Shopify launched a product that would allow companies to customize tools and components required to build their online store, ramping up its efforts to attract big retailers.
On the economic calendar, Markit Canada posts its manufacturing PMI for December soon after 9:30 EST Tuesday.
ON BAYSTREET
The TSX Venture Exchange gained 5.5 points, or 1%, Friday, to 570.27, but lost two points on the week, or 0.34%. On the year, the loss proved to be 369 points, or nearly 39.3%.
ON WALLSTREET
Stock futures rose Tuesday as Wall Street tried to start the new year on a strong note.
Futures for the Dow Jones Industrials gained 118 points, or 0.3%, early Tuesday to 33,403.
Futures for the S&P 500 tacked 15.5 points, or 0.4%, to 3,876.50.
Futures for the NASDAQ Composite picked up 60.75 points, or 0.6%, to 11,083.
Investors are looking for signs that the global economy will continue to recover in 2023 and lift stocks as issues that weighed on markets in 2022 subside. While there are fears that the Federal Reserve’s rate hikes to tame high inflation could push the U.S. economy into a recession, it would also likely lead to a pause in rate increases or a pivot to cutting rates in the latter part of the year, which could boost equities.
History also shows the U.S. stock market tends to rebound after down years. In fact, the S&P 500 has, on average, rebounded by 15% in the next year following a year where it lost more than 1%.
The major averages closed 2022 with their worst annual losses since 2008, snapping a three-year win streak. The Dow ended the year down about 8.8%, and 10.3% off its 52-week high. The S&P 500 lost 19.4% for the year and sits more than 20% below its record high. The tech-heavy Nasdaq tumbled 33.1% last year.
Investors are getting a bundle of data in the first trading week of the year that will give further information on the state of the economy.
First up are S&P Global manufacturing PMI and construction spending, due out at 9:45 a.m. and 10 a.m. ET on Tuesday.
In Japan, markets were closed Tuesday, while in Hong Kong, the Hang Seng Index popped 1.8%.
Oil prices faded 70 cents to $79.56 U.S. a barrel.
Gold prices advanced $17.30 to $1,843.50 U.S. an ounce.
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