Canadian Stocks Poised For Gains On Oil, Metals Rally

(RTTNews) - Canadian stocks are seen opening on a positive note on Wednesday, as firm crude oil and precious metals prices point to some buying in energy and materials sectors.

The overall mood is likely to remain somewhat cautious amid persisting concerns about Middle East tensions and a lack of progress in U.S.-China negotiations to end the conflict.

U.S. inflation data is likely to make an impact. Data showed U.S. PCE price index rose 0.3% in August, while annual growth remained unchanged at 3.4%. Core PCE Price index inched up 0.2% in August, while annual growth remained unchanged at 3%.

Meanwhile, U.S. Gross Domestic Product jumped by an upwardly revised 2.2% in the second-quarter.

Data from payroll processor ADP showed private sector in the U.S. jumped by more than expected in the month of September, rising by 90,000 jobs in the month, after rising by a downwardly revised 36,000 jobs in August.

The Canadian market ended slightly down on Tuesday after seeing considerable volatility early in the session. The benchmark S&P/TSX Composite Index settled at 35,460.27, down 29.59 points or 0.1%

Asian stock markets closed on a mostly positive note on Wednesday as easing bond yields as well as momentum among tech stocks bolstered sentiment. However, lingering anxiety ahead of updates to inflation and labor market due from the U.S. on Wednesday morning limited gains.

The major European markets shed early gains and were somewhat subdued this afternoon, as a rebound by oil prices and a mixed batch of regional economic data rendered the mood cautious.

West Texas Intermediate Crude oil futures are up $0.98 or 1.1% at $90.36 a barrel.

Gold futures are up $65.70 or 1.57% at $4,245.40 an ounce, while Silver futures are gaining $0.532 or 0.87% at $61.685 an ounce.