Bay Street Seen Opening On Positive Note

(RTTNews) - Canadian shares are likely to open on positive note Thursday morning, riding on higher commodity prices, and cheering fairly impressive earnings from major banks.

After Royal Bank of Canada and the National Bank of Canada reported strong earnings on Wednesday, Canadian Imperial Bank of Commerce today reported a sharp surge in quarterly earnings.

Investors will also be focusing on U.S. GDP readings and jobless claims report, while awaiting the crucial personal income and spending data, due on Friday.

Canadian Imperial Bank of Commerce (CM.TO) reported adjusted net income of $1,895 million for the third quarter, compared to $1,475 million in the corresponding quarter of the previous year.

On the economic front, Canadian current account data, and report on average weekly earnings, are due at 8:30 AM ET.

The Canadian market ended weak on Wednesday, extending losses from the previous session, as investors chose to take some profits ahead of a slew of crucial economic data, including reports on U.S. personal income and spending.

Strong results from Royal Bank of Canada and National Bank of Canada triggered some buying in the financials sector and helped limit market's downside.

The benchmark S&P/TSX Composite Index, which dropped to 23,063.68 around late afternoon, ended the day's session with a loss of 132.98 points or 0.57% at 23,126.98.

Asian stocks ended weak on Thursday, with tech stocks bearing the brunt of selling after Nvidia's earnings forecast fell short of investor expectations.

Investors also awaited the release of a key U.S. inflation reading on Friday that is likely to show that consumer price increases continued to run cool in July.

European stocks rose for a third straight session on Thursday and the euro slipped against the dollar after data showed Spanish inflation eased to its lowest level in a year and a measure of Eurozone economic sentiment rose more than expected in August.

Elsewhere, preliminary data showed inflation fell in six important German states in August, boosting bets on an ECB rate cut next month.

In commodities, West Texas Intermediate Crude oil futures are up $0.43 or 0.57% at $74.95 a barrel.

Gold futures are gaining $16.60 or 0.65% at $2,554.40 an ounce, while Silver futures are up $0.274 or 0.94% at $29.475 an ounce.