Futures for Canada's main stock index rose on Tuesday, aided by gains in crude and bullion prices, while easing COVID-19 restrictions in the world's number-two economy, China, raised hopes for stronger growth.
The S&P/TSX hiked 195.41 points, or 1%, higher. to conclude Monday at 19,258.32.
September futures progressed 0.6% Tuesday.
The Canadian dollar improved 0.23 cents to 77.92 cents U.S.
Atlantic Equities cut the price target on Canadian Pacific Railway to $106.00 from $111.00
Credit Suisse cut the target price on Lundin Mining to $9.50 from $11.50
Scotiabank assumes coverage on Shaw Communications with a sector perform rating.
ON BAYSTREET
The TSX Venture Exchange gained 5.03 points to close Monday to 652.36.
ON WALLSTREET
Stock futures rose early on Tuesday following a losing day as the market attempted to keep its rebound from the bear-market lows going.
Futures for the Dow Jones Industrials popped 209 points, or 0.7%, early Tuesday to 31,630.
Futures for the S&P 500 gained 24.25 points, or 0.6%, to 3,928.
Futures for the NASDAQ Composite index leaped 63.75 points, or 0.5%, to 12,104.25.
Despite last week’s bounce, the S&P 500 is down nearly 14% in the second quarter, on track to post its worst quarter since the first quarter of 2020, at the depth of the pandemic.
On Tuesday China relaxed its COVID restrictions for inbound travelers, cutting their quarantine time upon arrival by half to seven days.
That gave travel and casino stocks a lift in pre-market trading. Wynn Resorts and Las Vegas Sands rose more than 6% each. American, United and Delta Air Lines all added more than 1%.
Several major banks raised their dividends in response to successfully clearing this year’s Federal Reserve stress tests, including Bank of America, Morgan Stanley and Goldman Sachs.
JPMorgan and Citigroup, however, said increasingly stringent capital requirements forced them to keep their dividends unchanged.
Morgan Stanley shares gained nearly 4% in pre-market trading.
Investors will monitor more data on Tuesday including June consumer confidence and April home prices to gauge the health of the economy. Fears of a recession have increased lately as the Federal Reserve tries to combat surging inflation with aggressive rate hikes.
Shares of Nike edged lower in pre-market trading even after the sportswear company topped Wall Street’s earnings and sales expectations for the fiscal fourth-quarter despite a COVID lockdown in China and a tougher climate for consumers in the U.S.
In Japan, the Nikkei 225 gained 0.7% Tuesday. In Hong Kong, the Hang Seng vaulted 0.9%
Oil prices jumped $1.65 to $111.22 U.S. a barrel.
Gold prices slid 70 cents to $1,824.10 U.S. an ounce.
