(Reuters) - Futures for Canada's stock index rose on Tuesday on stronger gold prices and hopes of easing U.S.-China tensions, while investors kept an eye out for key economic data from the world's largest economy.
December futures on the S&P/TSX index were up 0.6% at 07:17 am ET, a day after dropping nearly 1%.
The resource-heavy index got a boost from spot gold prices rising 0.2%, after a retreating dollar made the precious metal more attractive to holders of other currencies. [GOL/]
The TSX had rallied 3.4% last week after softer-than-expected U.S. consumer prices data spurred hopes of less aggressive interest rate hikes in the coming months.
All eyes are now on October producer price index (PPI) data due later in the day, which is expected to remain unchanged.
Canadian factory sales data for September is also on the day's roster. The country's inflation report for last month is scheduled on Wednesday, which could help guide expectations for the Bank of Canada's (BoC) interest rate outlook.
Money markets expect the BoC to hike rates by at least 25 basis points at its Dec. 7 policy announcement and for the policy rate to peak at between 4.25% and 4.50% in April 2023.
Meanwhile, U.S. stock index futures rose after a meeting between President Joe Biden and Chinese leader Xi Jinping in which they pledged more frequent communications, on climate, debt relief and other issues.[.N]
Among other news, Canadian crypto exchange Bitvo terminated its deal to be bought by FTX, which filed for bankruptcy last week.
COMMODITIES AT 7:17 a.m. ET
Gold futures: $1,778.3; +0.1% [GOL/]
US crude: $85.26; -0.7% [O/R]
Brent crude: $92.65; -0.5%[O/R]
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Canadian dollar and bonds report [CAD/] [CA/]
Reuters global stocks poll for Canada
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($1 = C$1.33)
(Reporting by Johann M Cherian in Bengaluru; Editing by Devika Syamnath)