(Reuters) – Futures for Canada’s resources-heavy main stock index climbed on Tuesday as commodity prices rose, while investors kept a close watch on a key U.S. inflation reading for clues on the path of future interest rate hikes by the Federal Reserve.
Futures on the S&P/TSX index were up 0.2% at 6:48 a.m. ET, while their U.S. counterparts rose as well ahead of inflation data.
U.S. CPI data, which is due at 8:30 a.m. ET, comes just a day ahead of the Fed’s policy announcement, where the central bank is largely expected to hike interest rates by 50 basis points.
Oil prices extended gains on supply disruptions and as COVID restrictions eased in top crude importer China, while the bullion traded in thin territory. [O/R] [GOL/]
The benchmark Canadian index snapped a six-day losing streak in the previous session, propped up by gains in energy stocks.
Meanwhile, the Bank of Canada is trying to raise rates enough to tame inflation without forcing the economy into a deep recession, its governor said on Monday, but the greater risk of the two is sticky inflation, which would require “much higher” rates.
On the corporate side, TC Energy Corp said it had cleaned up almost 2,600 barrels of oil from the largest U.S. crude spill in nearly a decade, but the timetable to restart the Keystone Pipeline following its rupture last week remained unclear.
Crypto miner Hut 8 Mining appointed a new chief financial officer on Monday after markets closed.
($1 = 1.3619 Canadian dollars)
(Reporting by Shashwat Chauhan in Bengaluru; Editing by Anil D’Silva)