TSX Futures Edge Higher Ahead of Key US Inflation Data

Futures tracking Canada's main stock index edged higher on Wednesday as investors awaited key US inflation data that could offer fresh clues on the Federal Reserve's policy outlook.

The December futures on the S&P/TSX index were up 0.1% at 06:33 a.m. ET (1033 GMT), ahead of the US GDP and Personal Consumption Expenditures inflation reports due later in the day.

A stronger-than-expected inflation reading is likely to extend the recent rise in global bond yields, which has already driven up prices for Brent crude by about 14% this month, its biggest gain since July. Gold prices also firmed, but remain on course for a monthly loss due to expectations of higher interest rates weighing on sentiment.

The Canadian dollar and trade tensions between the US and Canada came into focus after Washington's ban on many Canadian alcoholic beverages, motorcycles, and dairy products took effect on Tuesday. The move has put hundreds of jobs at risk, with Prime Minister Mark Carney saying Canada will hold Cleveland-Cliffs accountable for its commitments.