Futures for Canada's main stock index were lower on Wednesday as oil prices fell on concerns that an ongoing standoff between the United States and China could hurt crude demand.
The S&P/TSX Composite Index slumped 50 points to end Tuesday’s session at 16,296.66
The Canadian dollar docked 0.04 cents to 74.07 cents U.S. early Wednesday
June futures ducked 0.2% Wednesday.
U.S. oil and gas producer Devon Energy said it would sell its Canadian assets to Canadian Natural Resources for $3.8 billion in cash as part of an ongoing effort to become a pure-play oil producer.
Canada Goose Holdings posted its slowest revenue growth in eight quarters that also missed estimates, sending shares of the luxury coat maker down more than 10% before the bell.
Bank of Montreal missed analysts' estimates for second-quarter profit as higher expenses and provisions for bad loans offset gains in its retail banking business.
Eight Capital started coverage on Alcanna with a buy rating and a price target of $9.50
CIBC cut the target price to $77.00 from $81.00
RBC raised the target price on TCP Energy to $75.00 from $71.00.
The only event on the economic calendar rolls around at 10 a.m. ET, when the Bank of Canada makes its rate announcement.
ON BAYSTREET
The TSX Venture Exchange subtracted 1.74 points Tuesday to 606.08.
ON WALLSTREET
U.S. stock index futures were sharply lower Wednesday morning, as bond yields fell again triggering concerns about the economic outlook. Increasing trade tensions in the China-U.S. trade fight also weighed on markets.
Futures for the Dow Jones Industrial Average plummeted 199 points, or 0.8%, to 25,170
Futures for the S&P 500 dipped 18.75 points, or 0.7%, at 2,786.25
NASDAQ futures slumped 62.25 points, or 0.9%, to 7,233
Washington and Beijing have imposed tariffs on billions of dollars’ worth of one another’s goods since the start of 2018, battering financial markets and souring business and consumer sentiment.
In the latest move, China made a veiled threat this week through state media regarding rare earth minerals, a market crucial to the U.S. technology and defense industries which China dominates.
Chipmakers, which have gotten pounded this month on fears of disrupted supply chains and lost customers due to the trade war, fell again in pre-market trading Wednesday. Micron and Nvidia were lower.
Trade bellwethers Boeing and Caterpillar were also lower in pre-market trading.
Overseas, the Nikkei 225 got pelted 1.2% Wednesday, while in Hong Kong, the Hang Seng index slumped 0.6%.
Oil prices slouched $1.91 to $57.23 U.S. a barrel.
Gold prices popped $6.30 to $1,283.40 U.S. an ounce.
