Investing.com - Canada's main stock index futures inched lower on Friday after equities fell in the prior session.
By 06:59 ET (10:59 GMT), the S&P/TSX 60 index standard futures had dipped by 4 points or 0.3%.
The Toronto Stock Exchange's S&P/TSX composite index finished marginally down by 8.97 points, or 0.04%, on Thursday as investors assessed the broader economic outlook and looked ahead to an anticipated general election.
Media reports suggested that Canadian Prime Minister Mark Carney is due to call a snap federal election this weekend for April 28.
Carney, who emerged victorious in a Liberal Party leadership vote two weeks ago, has moved to persuade Canadians that he is the best person to negotiate with U.S. President Donald Trump. Relations between Canada and the U.S. have been strained by recurring tariff threats and actions from Trump, which have sparked retaliatory levies from Ottawa.
Analysts have flagged that while the tariffs between the two traditional allies will dent both countries' economies, Canada, which is heavily dependent on exports to the U.S., may particularly suffer.
"Canada cannot afford a prolonged trade war with the US due to risk of recession and a potential rekindling of inflation, even if it has the monetary and fiscal space to cushion the hit of permanent tariffs," analysts at BofA said in a note to clients.
U.S. futures drop
U.S. stock index futures also slipped as investors gauged the outlook for Federal Reserve policy against ongoing tariff worries as well as disappointing corporate earnings.
At 06:59 ET, Dow Jones futures contract fell 122 points, or 0.3%, S&P 500 futures dropped 17 points, 0.3%, and Nasdaq 100 futures shed 80 points, or 0.4%.
The Wall Street indexes gave up early gains to close lower on Thursday, but the benchmark S&P 500 index is on track for a 0.4% advance week to date, breaking a four-week losing streak.
The Dow Jones Industrial Average is on pace for a 1.1% gain this week, marking its best weekly performance since late January. The Nasdaq Composite, by contrast, is off about 0.4% in the period, heading for its fifth consecutive losing week and its longest stretch of weekly losses since May 2022.
The Fed gave markets fleeting relief this week, after keeping interest rates flat as widely expected. But the central bank raised its inflation forecast and cut its growth outlook for 2025.
While the Fed did maintain its projections of at least 50 basis points of rate cuts this year, its expectations of higher inflation cast some doubt over this outlook.
In the corporate sector, shares in FedEx (NYSE:FDX) fell sharply premarket after the parcel delivery company cut its annual profit and revenue outlook.
In a statement, CFO John Dietrich said the reduction was due to "continued weakness and uncertainty in the U.S. industrial economy" that is weighing on demand for its business.
Nike 's (NYSE:NKE) fiscal fourth-quarter revenue estimate came in below analysts’ expectations, sending shares in the shoe retailer down substantially.
Crude on course for weekly gain
Oil prices edged down Friday, but remained on course for gains for the second consecutive week, as fresh U.S. sanctions against Iran and plans to cut production by a group of major producers pointed to tighter supplies in the coming months.
On a weekly basis, both the Brent and West Texas Intermediate crude oil contracts were on track to register gains of around 2%, their biggest weekly gains since the first week of 2025.
The U.S. on Thursday issued new sanctions against Iran as part of its goal to deter Tehran from developing a nuclear weapon, targeting an independent Chinese refinery and several oil tankers which Washington claims are a part of Iran’s “shadow fleet” of vessels.
Additionally, the Organization of the Petroleum Exporting Countries and allies, known as OPEC+, said that seven of its member states will cut output to make up for recent production increases. The plan will entail monthly cuts of between 189,000 and 435,000 barrels per day, and will last until June 2026.
Gold prices fall from record highs
Gold prices declined in European trade on Friday, extending a fall from recent record highs, as bullion was put under pressure by a stronger dollar.
Traders have been wagering that U.S. interest rates could remain unchanged in the near-term, giving some lift to the greenback.
Still, gold traded above the $3,000 an ounce milestone cleared last week, as safe haven demand remained high in the face of heightened uncertainty over the U.S. economy and Trump’s trade tariffs.
This content was originally published on Investing.com
