Bay Street Likely To Open On Weak Note

(RTTNews) - It's likely to be a weak start for stocks on Bay Street Thursday morning as investors may tread cautiously amid concerns about U.S. fiscal deficit, and continued uncertainty surrounding Trump administration's tariff moves.

Weak crude oil and metal prices are likely to hurt as well.

It is feared that Trump's "big, beautiful" tax bill will substantially increase the Federal government's $36.2 trillion in debt over the next decade.

On the economic front, data on Canadian producer prices and raw materials prices for the month of April are due at 8:30 AM ET.

A report from the Canadian Federation of Independent Business said Canada's CFIB Business Barometer long-term index, which reflects 12-month expectations among small businesses, rose by 5.2 points to 40.0 in May 2025, reaching a three-month high after April's 34.8 reading.

The Canadian market ended notably lower on Wednesday, snapping a ten-day winning streak. The pullback by Canadian stocks partly reflected concerns about rising U.S. treasury yields amid concerns about the fiscal impact of a new U.S. tax bill on the country's deficit.

The benchmark S&P/TSX Composite Index fell 216.46 points or 0.8% to 25,839.17 snapping a ten-day winning streak and pulling back off yesterday's record closing high.

Asian stocks followed Wall Street lower on Thursday after longer-dated U.S. Treasury yields hit their highest in 18 months on concerns that a new budget proposal could swell the country's federal deficit.

European stocks are down in negative territory amid rising concerns over a deteriorating U.S. fiscal outlook, and a lack of clarity on tariff negotiations.

In commodities trading, West Texas Intermediate Crude oil futures are down $0.98 or 1.59% at $60.59 a barrel.

Gold futures are down $10.00 or 0.31% at $3,303.50 an ounce, while Silver futures are lower by $0.346 or 1.03% at $33.300 an ounce.