On March 10, futures linked to Canada's primary stock index declined due to ongoing global trade war concerns and anticipation of the Bank of Canada's upcoming interest rate decision.
The S&P/TSX index futures were down 1% at 6:41 a.m. ET (1042 GMT). Last Friday, the index experienced its most significant weekly drop since December amidst persistent trade tensions following U.S. President Donald Trump's imposition of tariffs on most goods from Canada and Mexico for a 30-day period.
Additionally, former central banker Mark Carney emerged victorious in the race to lead Canada's ruling Liberal Party and potentially succeed Justin Trudeau as prime minister, according to official results revealed on Sunday. Carney, despite being a political newcomer, positioned himself as the best candidate to revitalize the party and manage trade negotiations with President Trump, who had previously threatened further tariffs.
Investor attention remains on this week's Bank of Canada meeting, with expectations indicating a 25-basis point interest rate cut to provide additional support to the Canadian economy. BofA Global Research anticipates further rate cuts from the central bank.
Moreover, investors are closely monitoring policymakers' statements amid elevated uncertainty stemming from U.S. trade policy.
In the commodities market, oil prices saw a slight rise, although concerns persist regarding the potential adverse effects of U.S. tariffs on global economic growth and fuel demand, along with increased output from OPEC+ countries. Gold prices remained stable, while copper prices dipped on Monday.
Regarding corporate updates, Japan's Seven & i Holdings disclosed discussions with Canada's Alimentation Couche-Tard (ACT) regarding a store sale plan that could pave the way for ACT's proposed $47 billion takeover bid.
For Canadian market updates and reports, please refer to the following: - TSX market report - Canadian dollar and bonds report (CA/) - Reuters global stocks poll for Canada - Canadian markets directory
(Note: $1 = 1.4358 Canadian dollars)