Futures Make Small Climb

CIBC, BMO in Focus

Futures for Canadian stocks edged higher on Wednesday, supported by spot gold, as the coronavirus scare triggered flows towards the safe-haven metal.

The TSX Composite Index tumbled 388.97 points, or 2.2%, Tuesday to 17,173.77.

The Canadian dollar demurred 0.15 cents early Wednesday to 75.18 cents U.S.

March futures were up 0.2% early Wednesday.

Canadian Imperial Bank of Commerce reported better-than-expected quarterly profit on Wednesday, helped by gains in its capital markets business and as it set aside lesser money to cover bad loans.

RBC cut the rating on Bank of Montreal to sector perform from outperform

CIBC raised the target price on George Weston to $126.00 from $121.00

CIBC cut the rating on Secure Energy Services to neutral from outperform

ON BAYSTREET

The TSX Venture Exchange slumbered 20.44 points, or 3.6%, Tuesday to 547.35.

ON WALLSTREET

Stock futures were flat as the market attempted to rebound the worst two-day slide for the S&P 500 in four years.

Futures for the Dow Jones Industrials gained 21 points, or 0.1%, early Wednesday to 28,138.

Futures for the S&P 500 picked up 4.5 points, or 0.1%, at 3,137.

Futures for the NASDAQ Composite increased 10.25 points, on 0.1%, to 8,864.50.

JP Morgan shares were higher slightly in pre-market trading Wednesday as yields bounced.

Apple through Tuesday was down 12% from its recent high. Apple shares were higher by 0.4% in pre-market trading Wednesday.

The news overnight was not positive in terms of containing the spread of the coronavirus. South Korea reported 169 new cases, bring, bringing the country’s total to 1,146 infected. In Italy, infections now total 325 and cases are now being seen beyond the original epicenter in the north. China reported 406 new confirmed cases, and an additional 52 deaths.

The selloff accelerated after U.S. health officials warned that the coronavirus is “likely” to continue to spread throughout the U.S. and outlined what schools and businesses should do if the disease becomes an epidemic.

Overseas, in Japan, the Nikkei 225 dropped 0.8%, Wednesday while in Hong Kong, the Hang Seng Index fell 0.7%,

Oil prices were down 74 cents to $49.16 U.S. a barrel.

Gold prices dropped $3.20 to $1,646.80 U.S. an ounce.