Futures for Canada's main stock index rose on Tuesday as the market stretched recent gains betting that the U.S. Federal Reserve could start cutting interest rates in the early part of next year, while investors awaited domestic inflation data.
The TSX Composite surged 93.56 points to close Monday at 20,622.71.
March futures increased 0.4% early Tuesday.
The Canadian dollar gained 0.1 cents to 74.73 cents U.S.
Among individual stocks, refiner Imperial Oil forecast 2024 upstream production higher than its 2023 outlook.
CIBC downgraded automotive supplier Magna International to "neutral" from "outperformer", while it upgraded Boyd Group Services to "outperformer" from "neutral".
On the economic front, the Consumer Price Index rose 3.1% on a year-over-year basis in November, matching the 3.1% increase in October. On a seasonally adjusted monthly basis, the CPI rose 0.3% in November.
As well, Statistics Canada reported its industrial product price index fell 0.4% month over month in November and was 2.3% lower than in November 2022, while its raw materials price index decreased 4.2% on a monthly basis in November and fell 4.6% year over year.
ON BAYSTREET
The TSX Venture Exchange regained 2.7 points to 533.55.
ON WALLSTREET
Stock futures were slightly higher Tuesday as the market tried to extend its recent rally.
Futures for the Dow Jones Industrials picked up 79 points, or 0.2%, to 37,757.
Futures for the S&P 500 increased 10.25 points, or 0.2%, at 4,803.25.
Futures for the NASDAQ took on 29 points, or 0.2%, to 16,968.75.
Stocks have hit rally mode as of late, with last week’s indication of three likely interest rate cuts from the Federal Reserve in 2024 providing another catalyst for the market. Signs of cooling inflation and a pullback in Treasury yields have also helped risk assets.
All three major averages on pace to finish December with gains. The S&P 500 is up 3.8% for the month and coming off its longest weekly winning streak since 2017. The NASDAQ has progressed 4.8% and Dow is up 3.8%.
A light week for economic data and earnings continues Tuesday with preliminary building permits data for November and housing starts.
Earnings from FedEx are also on deck after the bell.
In Japan, the Nikkei 225 regained 1.4% Tuesday, while in Hong Kong, the Hang Seng Index fell 0.8%.
Oil prices subtracted 27 cents to $72.20 U.S. a barrel.
Gold prices gathered $3.10 to $2,043.60 U.S. an ounce.
