Feb 16 (Reuters) - Futures for Canada's main stock index
edged lower on Thursday as weak company earnings overnight hit
investor sentiment and commodity prices were pressured by
concerns of aggressive interest rate hikes from the Federal
Reserve.
March futures on the S&P/TSX index were down 0.2% at
6:47 a.m. ET.
Both oil and gold prices were marginally up after falling
earlier in the day, though gains were in check as investors
pondered how long U.S. interest rates would continue to rise. The Toronto Stock Exchange's S&P/TSX composite index eked out marginal gains on Wednesday, with domestic
data pointing to slowing economic growth.
The index has climbed 6.9% this year, helped by gains in
commodity prices as the dollar fell from multi-decade highs on
expectations of slower rate hikes from the U.S. Federal Reserve.
However, the past few weeks have challenged the rally in
stocks as signs of a resilient U.S. economy stoked fears of
interest rates staying higher for longer.
In company news, fertilizer maker Nutrien Ltd forecast 2023 earnings below expectations and posted
lower-than-expected profit for the fourth quarter.
Shopify Inc forecast slowing revenue growth for
the current quarter despite price hikes and new product
launches, signaling that macroeconomic challenges were weighing
on its merchants' online businesses. U.S.-listed shares of the
technology company plunged 10.2% in premarket trading.
Manulife Financial Corp reported a drop in
fourth-quarter profit as investors pulled capital from the
Canadian insurer's wealth and asset management unit amid heavy
market volatility.
Meanwhile, a Senate committee on Wednesday called for
greater parliamentary oversight of the Bank of Canada and more
transparency from the central bank as it battles to restore
credibility lost during last year's fight to contain inflation.
COMMODITIES AT 6:47 a.m. ET
Gold futures : $1,837.9; +0.05% US crude : $78.78; +0.24% Brent crude : $85.53; +0.18% (Reporting by Shristi Achar A in Bengaluru; Editing by Devika
Syamnath)
