(Reuters) - Futures linked to Canada's main stock index gained on Monday, boosted by rising gold prices, after U.S. President Joe Biden exited the 2024 election race.
The S&P/TSX 60 futures were up 0.60% as of 07:02 a.m. ET (1102 GMT).
Wall Street futures also gained as investors assessed the odds of Republican candidate Donald Trump winning the elections in November. [.N]
Biden on Sunday announced an end to his reelection campaign and endorsed Vice President Kamala Harris for the Democratic ticket.
Along with the political uncertainty in the world's largest economy, investors veering away from highly valued technology megacaps in the United States also affected its Canadian peers.
Among sectors, materials is expected to grab focus as gold prices rose, while copper prices hit a more than three-month low on demand worries in China. [GOL/] [MET/L]
On the other hand, losses in oil prices were set to weigh on the Canadian energy sector. [O/R]
All eyes will now be on the Bank of Canada's monetary policy decision on Wednesday, where markets expect the Canadian central bank to trim borrowing costs again.
With the latest favourable dataset from Canada, including the annual inflation in June and retail sales, the odds of a rate cut stand at 92.1% this week.
In corporate news, Air Canada (TSX:AC) lowered its full-year core profit forecast as over-capacity in certain markets impacted its pricing power.
COMMODITIES
Gold: $2407.52; +0.3% [GOL/]
US crude: $78.89; -0.3% [O/R]
Brent crude: $82.36; -0.3% [O/R]
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($1 = 1.3742 Canadian dollars)