Stock futures pointed to a slightly higher opening for Canada's main stock index on Tuesday, steered by optimistic comments from the world's two biggest economies over the trade war.
The S&P/TSX Composite Index plummeted 104.14 points to finish Monday at 16,193.41
The Canadian dollar gained 0.1 cents to 74.26 cents U.S. early Tuesday
June futures advanced 0.5% Tuesday.
Desjardins raised the target price on Bank of Montreal to $108.00 from $106.00
RBC cut the price target on KP Tissue to $8.00 from $9.00
CIBC raised the target price on Premium Brands Holdings to $76.00 from $72.00
ON BAYSTREET
The S&P/TSX Composite Index plummeted 104.14 points to finish Monday at 16,193.41
ON WALLSTREET
U.S. equity futures rose Tuesday as investors weighed the impact of the escalating trade war between the United States and China.
Futures for the Dow Jones Industrial Average shot higher 172 points, or 0.7%, to 25,453
Futures for the S&P 500 gained 22.5 points, or 0.8%, at 2,829.50
NASDAQ futures popped 76.75 points, or 1.1%, to 7,391.50
Major U.S. indexes tumbled Monday after news that China plans to raise tariffs on $60 billion worth of U.S. imports, beginning on June 1. The list of targeted goods ranges from TV cameras to tequila, and includes a range of agricultural products. Beijing’s move comes after Washington announced last week it would increase tariffs from 10% to 25% on a bulk of Chinese imports.
The Dow and S&P 500 suffered their worst days since early January, and the NASDAQ Composite had its biggest single-day loss of the year.
According to the Washington Post, the office of the U.S. Trade Representative has already gone ahead with first steps on slapping tariffs on roughly $300 billion of Chinese imports.
Stocks doing business in China were hit the hardest. Apple, Intel and Caterpillar have all stumbled more than 10% in the six trading days since Trump’s surprise tweet announcing the higher levies.
Coca-Cola shares rose more than 1% in the pre-market after Morgan Stanley upgraded it to overweight from equal weight. The bank named the soda maker its “top mega-cap staples pick.
Overseas, the Nikkei 225 fell 0.6% Tuesday, while in Hong Kong, the Hang Seng returned from a long weekend to lose 1.5%.
Oil prices picked up 86 cents to $61.90 U.S. a barrel.
Gold prices fell $2.60 to $1,299.20 U.S. an ounce.
