(Reuters) – Futures tied to Canada’s main stock index were subdued on Thursday, with investors avoiding big bets as they assessed the final set of earnings from Toronto’s biggest lenders.
December futures on the S&P/TSX index were up 0.01% at 6:05 a.m. ET (11:05 a.m. GMT).
Bank of Montreal reported a drop in fourth-quarter profit on Thursday due to increased provisions for potential loan losses, while Canadian Imperial Bank of Commerce reported a rise as it set aside smaller funds for the same purpose.
Meanwhile, Toronto-Dominion Bank is also expected to report quarterly results before the bell.
The composite index edged closer to its all-time high on Wednesday, helped by technology shares, while investors cheered Royal Bank of Canada’s results.
In commodities, oil prices were up slightly ahead of an OPEC+ meeting later in the day. [O/R]
Gold prices eased as investors held back from placing big bets ahead of U.S. data, while copper prices were little changed. [GOL/] [MET/L]
Across the border, investors were focused on U.S. weekly jobless claims data due later in the day.
However, the spotlight will be on monthly payroll numbers on Friday that could set the tone of the Federal Reserve’s rate-cutting cycle for the next year.
Traders widely expect a 25-basis point cut later this month and about 84 bps worth of rate cuts by the end of next year.
Remarks from the Fed Chair Jerome Powell on Wednesday signaled his support for a slower pace of interest-rate cuts ahead as he acknowledged the U.S. economy was stronger than initially expected.
Back home, traders have fully priced in a rate cut by the Bank of Canada next week but remain conflicted on the magnitude.
COMMODITIES
Gold: $2,648.84; -0.04% [GOL/]
US crude: $68.80; +0.38% [O/R]
Brent crude: $72.58; +0.37% [O/R]
FOR CANADIAN MARKETS NEWS, CLICK ON CODES:
TSX market report [.TO]
Canadian dollar and bonds report [CAD/] [CA/]
Reuters global stocks poll for Canada
Canadian markets directory
($1 = 1.4057 Canadian dollars)
(Reporting by Nikhil Sharma and Ragini Mathur; Editing by Vijay Kishore)