Canadian Market May Open On Slightly Positive Note

(RTTNews) - Higher Canadian and U.S. futures amid expectations of an interest rate cut by the Federal Reserve in December, point to a slightly positive start on Bay Street Monday morning.

Easing concerns about Russia-Ukraine tensions may also help lift sentiment.

Commodity prices are a bit subdued, with oil futures edging up slightly and metal prices down in negative territory.

With earnings updates from big name Canadian banks set to pour in next week, the mood in the market is likely to remain cautious.

The Canadian market closed on a firm note on Friday amid renewed bets on another rate cut by the Federal Reserve.

The benchmark S&P/TSX Composite Index ended the day's session with a gain of 254.10 points or 0.85% at 30,160.65.

Mixed jobs data from the U.S., and the minutes of October Federal Reserve's meeting showing divergent perspectivees about rate cuts had rendered the mood a bit cautious earlier in the week. However, rate cut hopes rose after New York Fed President John Williams' remarks on Friday that there is room for "a further adjustment in the near term."

CME Group's FedWatch Tool indicated that the chances of a quarter point rate cut at the Fed's December meeting have soared to 69.5% from just 39.1% on Thursday.

Asian stocks ended mixed in thin trade on Monday, with Japanese markets closed for a holiday. Regional sentiment was underpinned somewhat by hopes for a Federal Reserve rate cut in December and easing Ukraine-Russia tensions.

European stocks are broadly higher today amid hopes of a Fed interest rate cut in December, and progress in Ukraine peace talks.

In commodities trading, West Texas Intermediate Crude oil futures are up $0.12 or 0.21% at $58.18 a barrel.

Gold futures are down $3.90 or 0.1% at $4,075.60 an ounce, while Silver futures are lower by $0.048 or 0.1% at $49.865 an ounce.

Data on Canadian manufacturing sales for the month of October is due at 8:30 AM ET.