Futures Slide Friday

Barrick, Enghouse in Focus

Canada's main stock index futures were down on Friday in the wake of weak spot gold prices, but losses were limited after dovish comments from a top Federal reserve official cemented the case for U.S. interest rate cuts later this month.

The S&P/TSX Composite Index poked ahead 10.02 points to close Thursday at 16,494.23

The Canadian dollar slid 0.06 cents to 76.60 cents U.S. early Friday

September futures slipped 0.05% Thursday.

Barrick Gold has struck a deal to buy out fellow shareholders in Acacia Mining after raising its offer to end a two-month standoff between the world's second biggest gold miner and its African unit.

CIBC raised the price target on Intact Financial to $134.00 from $120.00

CIBC initiates coverage on Enghouse Systems with an outperform rating, $41.50 price target

On the economic front, Statistics Canada reported retail sales for May skidded for the first time in four months, edging down 0.1% to $51.5 billion in May. Excluding sales at motor vehicle and parts dealers and gasoline stations, retail sales decreased 1.0%.

ON BAYSTREET

The TSX Venture Exchange budged into the green 0.84 points Thursday to 588.03

ON WALLSTREET

U.S. stock index futures gave back much of their gains Friday morning after initially rallying when two influential Fed officials hinted at more aggressive policy easing.

Futures for the Dow Jones Industrials gained 87 points, or 0.3%, to 27,288.

Futures for the S&P 500 took on six points, or 0.2%, at 3,003.50

NASDAQ futures acquired 21.5 points, or 0.3%, to 7,955

A spokesperson for the New York Fed moved to cool the speculation arising from Williams’ comments, telling reporters that he was drawing from academic research, not hinting at potential policy actions at the upcoming Federal Open Market Committee (FOMC) meeting.

Investors on Thursday digested a mixed flurry of corporate earnings, as Netflix shares plummeted more than 10% after the streaming giant reported a surprise loss in U.S. subscribers, while Microsoft shares hit record highs after it beat analysts’ estimates for fourth-quarter revenue and profit.

IBM reported its fourth consecutive revenue decline, while Morgan Stanley beat expectations.

American Express and BlackRock are among those reporting before the bell on Friday.

Investors will also be monitoring another escalation of tensions in the Middle East, after President Trump said a U.S. Navy ship destroyed an Iranian drone in a “defensive action” in the Strait of Hormuz.

Overseas, in Japan, the Nikkei 225 index popped 2%, while in the Hong Kong, the Hang Seng index increased 1.1%,

Oil prices obtained 74 cents to $56.04 U.S. a barrel.

Gold prices shot higher $10.10 to $1,438.20 U.S. an ounce.