Futures for Canada's main stock index edged lower on Wednesday, as investors moved to the sidelines ahead of the U.S. Federal Reserve's policy decision later in the day.
The TSX jumped 195.27 points, or 1%, to close Tuesday at 20,767.38, for a jump on the month of 7.1%.
March futures on the S&P/TSX index fell behind 0.2% Wednesday morning.
The Canadian dollar eked up 0.02 cents to 75.15 cents U.S.
In earnings, Canadian Pacific Railway reported better-than-expected fourth quarter profit overnight.
Information tech company CGI reported better-than-expected first-quarter 2023 results.
On the economic calendar, the Markit Canada Manufacturing PMI is due out around 9:30 a.m.
ON BAYSTREET
The TSX Venture Exchange moved upward 8.58 points, or 1.4%, Tuesday to 626.17.
ON WALLSTREET
Stock futures slipped Wednesday as investors looked ahead to the Federal Reserve’s Wednesday meeting.
Futures for the Dow Jones Industrials subsided 114 points, or 0.3%, early Wednesday to 34,042.
Futures for the S&P 500 retreated seven points, or 0.2%, to 4,083.
Futures for the NASDAQ Composite forged higher 4.75 points to 12,157.
The Fed at 2 p.m. ET will announce how much it is increasing interest rates in its latest effort to tame high inflation. Markets are expecting a 25 basis point, or 0.25 percentage point, bump from the central bank. On Tuesday, the employment cost index, a measure of wage increases, showed compensation rose 1% in the fourth quarter, less than the 1.1% estimate by Dow Jones.
Still, traders may be getting ahead of themselves in expecting a more dovish tone from the Fed, or looking for signs that a pause in hikes or even a pivot is coming soon.
Earnings season continues as well. Peloton and Meta Platforms are scheduled to report quarterly results on Wednesday.
Snap shares dropped more than 15% after the social media company posted a disappointing quarterly revenue. The company’s average revenue per user, a key metric for Snap, also came in below expectations. Meanwhile, AMD reported better-than-expected earnings and revenue but warned of a 10% top-line decline in the first quarter.
In Japan, the Nikkei 225 index eked higher 0.1%, while in Hong Kong acquired 1.1%.
Oil prices grabbed 55 cents to $79.42 U.S. a barrel.
Gold prices advanced $1.50 to $1,946.80 U.S. an ounce.
