Futures Stumble Mid-Week Wednesday

Tilray, Loblaw in Focus

Tilray, Loblaw in Focus

Futures for Canada's main stock index fell on Wednesday, as investors awaited local inflation data to gauge the pace of economic recovery from the pandemic.

The TSX Composite index gained 8.39 points Tuesday to 20,173.35

The Canadian dollar inched forward 0.16 cents to 79.58 cents U.S.

September futures were down 0.2% Wednesday.

Tilray reported quarterly revenue that fell short of analysts' estimates, hurt primarily by COVID-19 lockdowns in its key Canadian market.

Loblaw Cos beat estimates for quarterly revenue, as consumer demand for groceries and other essentials stayed robust during the pandemic.

On the economic slate, Statistics Canada said its consumer price index rose 3.1% on a year-over-year basis in June, down from a 3.6% gain in May. On a seasonally adjusted monthly basis, the CPI rose 0.1% in June.

ON BAYSTREET

The TSX Venture Exchange docked 7.44 points Tuesday to 898.81.

ON WALLSTREET

U.S. stock index futures were slightly higher during morning trading Wednesday after the major averages pulled back from record highs, snapping a five-day winning streak.

Futures for the Dow Jones Industrials eked up one point to 34,957.

Futures for the S&P 500 gained 2.5 points to 4,397.

Futures for the NASDAQ Composite Index moved higher 47.5 points, or 0.3%, to 14,995.25.

The major averages are still on track to end the month higher. The S&P is up 2.4% for July, while the NASDAQ has picked up 1.1%, and the Dow has gained 1.6%.

Boeing shares climbed 3.5% in pre-market trading after the manufacturer posted its first profit since the third quarter of 2019 thanks to a rebound in aircraft deliveries.

Investors also digested a host of quarterly results from megacap tech names. Google-parent Alphabet popped more than 4% in premarket trading after the tech giant posted quarterly results, registering a 69% jump in advertising revenue.

Apple shares dipped 1.4% even after the company beat top- and bottom-line estimates and said iPhone sales surged 50% year over year. Microsoft rose 1.2% after reporting an earnings beat despite a dip in revenue from its Windows division.

The Federal Reserve will conclude its two-day meeting on monetary policy Wednesday. The Federal Open Market Committee is set to release a statement at 2 p.m. ET followed by a press conference with Chairman Jerome Powell.

The busiest week of earnings continues on Wednesday with Qualcomm, Facebook, Ford and PayPal among the names on deck. Of the S&P 500 companies that have reported quarterly results thus far, 89% have topped earnings estimates, while 86% have exceeded revenue expectations, according to data from Refinitiv.

Overseas, in Japan, the Nikkei 225 index fell 1.4%, while in Hong Kong, the Hang Seng index recovered 1.5%,

Oil prices gained 50 cents to $72.15 U.S. a barrel.

Gold prices gave back $2.90 to $1,796.90 U.S. a pound.