May 29 (Reuters) - Futures for Canada's main stock index moved lower on Wednesday as Treasury yields firmed ahead of key inflation data due this week, while a slip in gold prices is expected to weigh on materials.
June futures on the S&P/TSX index were down 0.6% at 7:21 a.m. ET (11:21 GMT).
U.S. stock index futures also slipped as megacap stocks were pressured by rising Treasury yields.
The U.S. 10-year Treasury yield rose for a second straight day on concerns that stubborn inflation will keep interest rates higher for longer in the United States.
Traders pulled back on bets for a September Federal Reserve interest rate cut following unexpected improvement in U.S. consumer confidence.
The upcoming U.S. inflation data, due Friday, remains crucial in determining how long conditions will persist.
Canada's GDP data for the month of March and first quarter will also be on investors' radar on Friday.
Money markets have factored in two rate cuts for 2024 by the Bank of Canada, with the first 25 bps cut expected in July.
Meanwhile, materials (.GSPTTMT), opens new tab shares are expected to take a hit on lower gold prices and firm Treasury yields.
The Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE), opens new tab ended lower on Tuesday.
In corporate news, National Bank of Canada (NA.TO), opens new tab reported a rise in second-quarter net profit, helped by strong performance in its wealth management and financial markets units.
BMO Financial Group (BMO.TO), opens new tab reported a fall in Q2 adjusted profit as weakness in its U.S. business hurt the Canadian lender.
COMMODITIES AT 7:21 a.m. ET
Gold futures : $2,345; -0.5%
US crude : $80.42; +0.7%
Brent crude : $84.8; +0.7%
($1= C$1.3673)
Reporting by Khushi Singh; Editing by Shreya Biswas
