Global stocks surged as the Federal Reserve, the Bank of Canada, the European Central Bank, the Bank of Japan and other announced moves to support the financial system.
The moves follow efforts by China, where authorities said they will cut the reserve requirement ratio of the nations' banks by half a percentage point.
Among Canadian stocks to watch this morning when the opening bell rings, Nexen Inc. formed a joint venture with China's top offshore oil company CNOOC Ltd in the Gulf of Mexico, a day after the Canadian oil company sold a 40% stake in some of its gas assets in British Columbia.
TMX Group said Canada's commissioner of competition expressed "serious concerns" about the likely competitive effects of Maple Group's proposed plan to buy the owner of the Toronto Stock Exchange.
Investors were also likely to digest Canadian economic growth numbers released Wednesday morning, an hour before the start of trading.
The Canadian dollar vaulted 1.53 cents to $98.45 cents U.S.
U.S. stock index futures, which were already in positive territory before the central bank moves were announced, shot higher with less than one hour before markets open, suggesting that stocks will rise at the start of trading.
Futures for the Dow Jones industrial average were up 256 points or 2.2%. Futures for the broader S&P 500 were up 31 points or 2.6% -- putting the index on track for three consecutive days of gains after slumping for seven straight sessions.
European stocks were also strong. The U.K.'s FTSE 100 was up 2.8% in early afternoon trading, while Germany's DAX index was up 4.6%. However, Japan's Nikkei 225 fell 0.5% in overnight trading.
The move by central banks involves cutting the price on U.S. dollar swap arrangements by half a percentage point. In a statement, the Fed said that the moves aim to "ease strains in financial markets."
Oil prices surged $1.69 to $101.48 U.S. a barrel
Gold prices hiked $26.50 to $1,739.90 U.S. an ounce.
