Oil Woes Weigh on Futures

Initial Jobs Claims Due in U.S.


Canada's main stock index futures fell on Thursday as oil prices slid due to uncertainty surrounding output cuts and worries over rising U.S. inventories.

The S&P/TSX Composite Index jumped 180.75 points, or 1.2%, to conclude Wednesday at 15,575.11

The Canadian dollar eked ahead 0.09 cents early Thursday to 74.15 cents U.S.

June futures dipped 0.3% Thursday.

Oil producers from the Organization of the Petroleum Exporting Countries could still hold a ministerial video conference this week if Iraq and others which have not fully complied with existing oil supply cuts agree to boost their adherence.

Official U.S. data showed gasoline stocks rose by 2.8 million barrels, nearly triple what analysts had expected. Distillate stocks rose by 9.9 million barrels, nearly four times more than expected.

Telus Corp said director Stockwell Day had stepped down from its board a day after the former cabinet minister compared enduring racism to his experience of being teased in school for wearing glasses.

BMO resumes coverage on Sabina Gold & Silver with an outperform rating, and a $3.00 target price

TD Securities cut the rating on National Bank of Canada to hold from buy

Scotiabank cut the target price on Transat AT to $8.00 from $13.50

ON BAYSTREET

The TSX Venture Exchange faded two points Wednesday to 557.78.

ON WALLSTREET

Futures contracts tied to the major U.S. stock indexes clawed back most of their earlier losses on Thursday morning amid massive monetary stimulus from the European Central Bank.

Futures for Dow Jones Industrials remained down 21 points, or 0.1%, early Thursday, to 26,207.

Futures for the S&P 500 fell 8.75 points, or 0.3%, to 3,109.

Futures for the NASDAQ Composite slumped five points, or 0.1%, to 9,679.75.

The ECB said Thursday it will increase its Pandemic Emergency Purchase Programme by 600 billion euro, bringing the program’s total to more than one trillion euro. The ECB’s stimulus measures come as the Federal Reserve and other central banks around the world take action to curb the economic blow from the coronavirus pandemic.

The Department of Labor is scheduled to release the latest update to initial jobless claims at 8:30 a.m. ET Thursday morning. Though economists polled by Dow Jones expect the government to announce yet another deceleration in the pace of claims, the consensus estimate predicts another 1.8 million Americans filed for insurance during the week ended May 30.

Last week, the department reported another 2.1 million Americans had filed claims in the week ended May 23.

Overseas, in Tokyo, the Nikkei 225 gained 0.4%, Thursday, while in Hong Kong, the Hang Sang index inched up 0.2%.

Oil prices sank 35 cents to $36.94 U.S. a barrel.

Gold prices poked up $7.70 to $1,712.50.