Canadian Stock Futures Flat as Markets Digest Fed Rate Hike Uncertainty

Canadian stock futures showed little movement on Monday following a solid gain in the previous session. The TSX Composite Index climbed 347.89 points, or 1%, to close Friday at 35,502.65, though it ended the week down 482 points, or 1.3%. The Canadian dollar remained steady at 70.15 cents U.S.

December futures were also unchanged Monday morning. In corporate news, Suncor Energy announced a $1.2 billion deal to sell its interests in three offshore oil assets to Ithaca Energy. Meanwhile, Cenovus Energy revealed plans to acquire Athabasca Oil in a cash-and-stock transaction valued at $5.7 billion.

The TSX Venture Exchange rose 1.79 points to 880.57, still down 40 points, or 4.3%, from the previous Friday. Across global markets, U.S. stock futures dipped as traders focused on Treasury yields and oil prices ahead of the Federal Reserve’s meeting minutes release. Futures for the Dow Jones, S&P 500, and NASDAQ Composite all declined slightly.

Investors will also monitor the Institute for Supply Management’s services activity report on Monday. Stocks saw volatility last week due to surging Treasury yields and a weak jobs report, which reduced expectations of an imminent Fed rate hike. In Asia, the Nikkei 225 surged 2.4%, and the Hang Seng gained 0.3%. Oil prices dropped 99 cents to $90.12 U.S. per barrel, while gold prices jumped $27.00 to $4,189.30 U.S. per ounce.