Canada’s main stock exchange futures edged lower Friday, as investors focused on growth data as well as important U.S. inflation numbers.
Toronto Stock Exchange’s S&P/TSX composite index closed Thursday under 2 points, higher at 28,434.80, at a record closing high, and the S&P/TSX 60 index standard futures contract fell Friday.
Canadian stocks have climbed to record highs this week, boosted by solid earnings from the country’s main banks.
Attention now turns to economic data, with Canada’s gross domestic product report expected to show a sharp cooling in the second quarter from the annualized 2.2% gain in the first three months this year.
Statistics Canada’s advance estimates of monthly output through June pointed to a hefty drop in output, given spring saw a surge in U.S. tariffs that rattled business and consumer confidence.
U.S. PCE in spotlight
In the U.S., the spotlight will be on the release of the U.S. personal consumption expenditures (PCE) price index, the Federal Reserve’s preferred inflation gauge, later in the session, as they seek more clarity on the path for interest rates for the rest of the year.
Expectations are for the core PCE price index to have stayed steady at 0.3% on a monthly basis, putting the annual rate at 2.9%, reaching its highest level in five months.
However, there is the risk the data may reveal more evidence of U.S. President Donald Trump’s sweeping tariffs filtering into consumer prices, following a recent upside surprise in producer inflation.
Crude set for weekly gains
Oil prices slipped lower, but are set for a weekly gain, as traders weigh uncertainty over Russian supply as well as the proximity to the end of the important U.S. summer driving season.
At 06:55 ET, Brent futures slipped 0.5% to $67.62 a barrel, and U.S. West Texas Intermediate crude futures fell 0.5% to $64.26 a barrel.
Both contracts are on course for weekly gains of just under 1%, with the lack of a meeting between Russian President Vladimir Putin and Ukrainian President Volodymyr Zelensky raising doubts about the peace process.
On a broader scale, both contracts are set for monthly losses of over 6%, dragged by steady production hikes by the Organization of the Petroleum Exporting Countries.
Gold prices fell slightly on Friday, but were sitting on strong gains in August amid increasing bets on a September interest rate cut by the Federal Reserve.
Spot gold fell 0.4% to $3,404.89 an ounce, while gold futures for October fell 0.3% to $3,463.65/oz.
Spot gold was trading up 3.7% in August, and was now less than $100 away from its April record high.
Source :
https://www.investing.com/news/stock-market-news/pepsico-to-boost-stake-in-energy-drink-maker-celsius-bloomberg-news-reports-4216337
