off-the-wire

CANADA STOCKS-Slide in commodity prices pushes TSX futures lower

Kitco Media
By Reuters
Published:
Updated:
Reuters
April 19 (Reuters) - Futures tracking Canada's resource-heavy stock index fell on Wednesday as commodity prices dropped on rising bets of U.S. interest rate hikes, while weakness on Wall Street also weighed on the mood. June futures on the S&P/TSX index were down 0.4% at 6:37 a.m. ET. Oil prices slid almost 2% as potential U.S. interest rate hikes that could slow growth and curb oil consumption outweighed strong Chinese economic data and falling U.S. inventories. Spot gold prices also fell against a stronger dollar. Across the border, futures tracking U.S. stock indexes fell as Treasury yields rose on expectations the Federal Reserve could keep interest rates higher for longer. The Toronto Stock Exchange's S&P/TSX composite index hit the highest closing level in two months on Tuesday, as easing inflation raised prospects of the domestic economy being able to avoid recession. Investors were awaiting Canada's producer prices and housing starts data for March later in the day.


In company news, Glencore has told Teck Resources shareholders it is willing to improve its $22.5 billion takeover offer, raising the pressure on the Canadian miner to ditch a restructuring plan and sit down at the negotiating table. Suncor Energy reported the release of 5,900 cubic metres (208,400 cubic feet) of water with more than twice the approved level of suspended solids from a sedimentation pond at its Fort Hills oil sands project in northern Alberta. Jefferies downgraded drug developer Bellus Health to "hold" from "buy", while RBC Capital Markets downgraded the stock to "sector perform" from "outperform."


COMMODITIES AT 6:37 a.m. ET


Gold futures : $1,977.1; -1.65% US crude : $79.46; -1.73% Brent crude : $83.22; -1.83% FOR CANADIAN MARKETS NEWS, CLICK ON CODES: TSX market report Canadian dollar and bonds report Reuters global stocks poll for Canada Canadian markets directory ($1 = 1.3432 Canadian dollars) (Reporting by Shristi Achar A in Bengaluru; Editing by Shailesh Kuber)

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