Economic news

TSX Futures Flat as Investors await US Inflation Data

Sept 11 (Reuters) - Futures tied to Canada's main stock index were muted on Wednesday as investor caution ahead of U.S. inflation data overshadowed gains in crude prices.

September futures on the S&P/TSX index were flat at 0.0% at 6:11 a.m. ET (10:11 GMT).

The U.S. Labor Department's consumer price index (CPI) data, due at 8:30 a.m. ET, is expected to show inflation rose 0.2% on a monthly basis in August.

The U.S. CPI data could influence the magnitude and pace of interest-rate cuts by the Federal Reserve in the policy meeting on Sept. 18.

Although there is an uncertainty about the size of the reduction, markets see a 69% chance of a 25-basis-point cut.

Meanwhile, global markets also reacted to the U.S. presidential debate on Tuesday, where Democrat Kamala Harris put Republican Donald Trump on a defensive.

The debate also perked up the odds of Harris' victory in the upcoming presidential elections.

Back home, the TSX composite index ended lower on Tuesday as a drop in oil prices weighed on energy shares.

However, the energy sector was set for a positive start on Wednesday, with oil prices up on a drop in U.S. crude inventories and concern about Hurricane Francine disrupting output in the United States.

Materials shares also gathered optimism as gold and copper prices edged higher against a softer dollar.

In corporate news, Suntory Holdings CEO Takeshi Niinami said in a Reuters NEXT Newsmaker interview that Seven & i responded fairly by rejecting Alimentation Couche-Tard's $39 billion takeover bid.

COMMODITIES

Gold : $2,521.64; +0.2%

US crude : $67.37; +2.5%

Brent crude : $70.72; +2.2%

FOR CANADIAN MARKETS NEWS, CLICK ON CODES:

TSX market report

Canadian dollar and bonds report CA/

Reuters global stocks poll for Canada ,

Canadian markets directory

($1 = 1.3585 Canadian dollars)

Reporting by Nikhil Sharma in Bengaluru; Editing by Shreya Biswas

Source: Reuters


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