June 30 (Reuters) – Canadian stock index futures rose on Tuesday, as higher commodity prices and easing geopolitical tensions put the main benchmark on track for a strong quarterly performance.
Futures on the S&P/TSX index were up 6.20 points, or 0.30%, at 06:29 a.m. ET, signaling a positive open for the markets.
Optimism around AI and signs of a resilient global economy despite several headwinds have supported global stock markets this year.
Canada’s S&P/TSX Composite Index (.GSPTSE), was on track for its eighth straight quarter of gains, the benchmark’s longest winning streak since January 1995-October 1996.
The index was poised for a 6.3% rise in the second quarter, still lagging U.S. peer S&P 500 (.SPX), which is on track for a 14% gain.
The rally in oil prices on the back of the Middle East conflict has helped Canada’s energy index (.SPTTEN), outperform this year with a near 25% jump.
But crude prices have retreated sharply in recent weeks on signs of progress in ending the Middle East conflict, weighing on Canada’s commodity-heavy stock index. Brent crude prices edged up to $73.16 on Tuesday. [O/R]
Gold miners, which carry sizeable weight in the TSX index, have come under pressure as spot gold prices head for their worst quarter since 2013.
Investors will also keep a close eye on U.S. economic data this week, including the June non-farm payrolls report, for clues on the Federal Reserve’s monetary policy path. Canada’s April GDP data is due at 8:30 a.m. ET.
Meanwhile, U.S. President Donald Trump’s administration is expected to formally declare on Wednesday that it will not extend the U.S.-Mexico-Canada Agreement (USMCA) on trade, starting a decade-long clock to wind down the 32-year-old North American free trade zone as the three countries haggle over proposed changes.
FOR CANADIAN MARKETS NEWS, CLICK ON CODES:
TSX market report
Canadian dollar and bonds report CA/
Reuters global stocks poll for Canada ,
Canadian markets directory
Reporting by Sruthi Shankar in Bengaluru; Editing by Jonathan Ananda
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
Leave a comment