Bay Street Likely To Open Lower

(RTTNews) - Canadian shares are likely to open weak on Tuesday, tracking subdued European stocks, and falling commodity prices. With the focus on the upcoming speeches by Federal Reserve Chair Jerome Powell, and officials from European and U.K. central banks, the mood is likely to remain cautious.

Investors are likely to react to a slew of quarterly earnings updates.

Stella-Jones Inc (SJ.TO) reported third-quarter net income of $110 million, or $1.91 per shares, up 79% from Earnings Per Share in the third quarter of the previous financial year.

TransAlta Corporation (TA.TO) reported third-quarter net earnings of $372 million, up $311 million from the year-ago quarter.

Cargojet Inc. (CJT.TO) said it posted net earnings of $10.5 million for the quarter quarter ended September 30, 2023, compared to net earnings of $83.4 million in 2022.

Bitfarms Limited (BITF.TO) reported a net loss of US$ 18.7 million for the third-quarter, compared with net loss of US$ 84.8 million in the year-ago quarter.

Ballard Power Systems Inc. (BLDP.TO) announced on Monday that it received an order for 2.4 MW of additional fuel cell engines from Canadian Pacific Kansas City. These twelve, 200 kW fuel cell engines are planned for delivery in 2023.

On the economic front, Canada's trade data for the month of September is due at 8:30 AM ET.

Canada posted a trade surplus of C$ 0.72 billion in August, the first trade surplus since April. Exports soared by 5.7% to C$ 64.56 billion, while imports rose by 3.8% to C$ 63.84 billion.

The Canadian market ended weak on Monday, as investors appeared reluctant to make significant moves despite easing concerns about the outlook for interest rate after last week's softer than expected U.S. jobs data.

The benchmark S&P/TSX Composite Index ended with a loss of 80.91 points or 0.41% at 19,743.94, after scaling a high of 10,905.37 and a low of 19,709.99 intraday.

Asian stocks ended weak on Tuesday with a resurgence in U.S. Treasury yields and mixed China data weighing on investor sentiment.

China's exports shrank 6.4% year-on-year in October, while imports unexpectedly grew 3% to snap 11 straight months of decline, official data showed in a sign that recovery in the world's second-largest economy remains uneven despite a series of government stimulus measures.

European stocks are subdued Tuesday as China reported mixed trade data and investors look ahead to Fed Chair Jerome Powell's speech due on Wednesday and Thursday for additional clarity on the U.S. rate outlook.

Meanwhile, data showed German industrial output registered a monthly fall of 1.4% in September, faster than the revised 0.1% drop in August. This was the fourth consecutive decline. On a yearly basis, industrial production registered a 3.7% fall in September.

In commodities, West Texas Intermediate Crude oil futures are down $1.19 or 1.47% at $79.63 a barrel.

Gold futures are down $22.90 or 1.16% at $1,965.70 an ounce, while Silver futures are lower by $0.614 or 2.64% at $22.620 an ounce.