Bay Street Likely To Open On Weak Note

(RTTNews) - Lower Canadian and U.S. futures and weak bullion prices point to a negative opening for Canadian shares on Thursday.

The major European markets are down firmly in negative territory around early afternoon today, after having moved higher on Wednesday after the Bank of England decided to intervene in the bond market.

The Canadian market ended on a buoyant note on Wednesday thanks to positive reaction to the BoE's plans to begin purchases of long-dated U.K. government bonds to address dysfunction in the gilt market.

The BoE said that the purchases would be carried out on "whatever scale is necessary" to restore orderly market conditions. In addition, the BoE postponed the selling of bonds held under the quantitative easing program to October 31. The sale was initially due to commence next week.

The benchmark S&P/TSX Composite Index, which dropped to 18,247.90 in early trades, rallied to 18,703.89 before settling at 18,648.92, recording a gain of 341.01 points or 1.86%.

Asian stocks closed higher on Thursday, tracking Wall Street after the Bank of England stepped in to buy U.K. debt, helping ease volatility in the currency and bond markets.

Chinese shares gave up early gains to end on a flat note ahead of a seven-day holiday called Golden Week from October 1-7.

European stocks are notably lower today as the boost from the Bank of England's intervention in bond markets begin to fade and Sweden's coast guard discovered a fourth gas leak on the damaged Nord Stream pipelines, heightening energy security concerns.

In commodities trading, West Texas Intermediate Crude oil futures are up $0.19 or 0.23% at $82.34 a barrel.

Gold futures are down $12.40 or 0.74% at $1,657.60 an ounce, while Silver futures are lower by $0.210 or 1.1% at $18.670 an ounce.