Baystreet.ca - Futures tied to Canada's main stock index rose on Monday, supported by metal prices, as investors looked forward to this week's domestic inflation data and AI darling Nvidia (NASDAQ:NVDA)'s quarterly earnings.
The TSX was in the minus column 158.99 points to close Friday at 24,890.68. On the week, though, the index gained 131 points, or 0.5%.
December futures obtained 0.3% Monday.
The Canadian dollar sagged 0.02 cents to 70.97 cents U.S.
Canadian investors were squarely focused on the consumer price index data due this week, which could provide clues on the Bank of Canada's move at its December policy meeting.
The BoC slashed interest rates by half a percentage point last month to boost the domestic economy. Traders see a 33.4% chance for another 50-basis-point rate cut next month.
In corporate news, Canadian fund Brookfield plans to offer about seven billion euros ($7.4 billion) for Spanish drugmaker Grifols (BME:GRLS) after finishing due diligence, according to news website El Confidencial.
In matters economic Monday, Canada Mortgage and Housing Corporation reports October housing starts increased 240,800 from 223,400 last year, while Statistics Canada said foreign investors increased their exposure to Canadian securities by $29.3 billion in September, the largest investment since April. Meanwhile, Canadian acquisitions of foreign securities slowed to $4.1 billion, down from a $12.3 billion investment in August.
ON BAYSTREET
The TSX Venture Exchange picked up 0.71 points Friday to 591.22, for a loss on the week of 12.7 points, or 2.1%.
ON WALLSTREET
Stock futures were mixed Monday as Wall Street awaits major earnings reports this week and monitors the state of the postelection rally.
Futures for the Dow Jones Industrials decreased 90 points, or 0.2%, to 43,478.
Futures for the S&P 500 gained 3.5 points, or 0.1%, to 5,900.
Futures for the NASDAQ Composite Index rumbled ahead 71.73 points, or 0.4%, to 20,656.50.
Concerns about the path of interest rates continue to weigh on investors’ minds, particularly after Federal Reserve Chair Jerome Powell said on Thursday that the central bank is not “in a hurry” to cut rates given the economy’s strong growth and a solid labor market — which drove last week’s selloff. Most investors are now pricing in a year-end overnight lending rate in the range of 4.25% to 4.50%,
The next major catalyst for the market this week will be Nvidia earnings, which are set to be released on Wednesday. Traders will be watching for guidance about the company’s demand for its Blackwell AI chips.
Nvidia shares were down 2% after The Information reported, citing sources, that the company’s Blackwell chips overheat when connected together in servers.
Earnings from Palo Alto Networks and several major retailers, including Walmart (NYSE:WMT), Target (NYSE:TGT) and Ross, are also on deck this week. So far, with 93% of S&P 500 companies reporting results, three-quarters of them have reported a positive EPS surprise and 61% have reported a positive revenue surprise.
In Japan, the Nikkei 225 lost 1.1% Monday, while in Hong Kong, the Hang Seng regained 0.8%.
Oil prices added 29 cents to $67.31 U.S. a barrel.
Gold prices jumped $25.40 to $2,595.50 U.S. an ounce.