Futures contracts tracking Canada’s main stock index rose in light trading Tuesday, the final session of 2024, boosted by rising commodity prices.
March S&P/TSX index futures were up 0.3% as of 6:56 a.m. ET (11:56 GMT).
Wall street futures also rose slightly at the end of a tough December as investors faced the prospect of a cut in U.S. interest rates next year. [.N]
Canada’s main stock index is forecast for a 4% decline in December, its worst month since May 2023, in part due to the U.S. Federal Reserve’s hawkish policy announcement and domestic political uncertainty.
However, easing policies from major central banks that spurred a big wave of stock buying put the TSX index on track to rise nearly 18% this year, its best annual performance since 2021 .
As the year ended, investors lowered their expectations for significant rate cuts by the Fed in 2025 and are bracing for possible policy changes with Donald Trump’s return to the White House.
Most markets around the world will be closed on Wednesday due to the holiday season.
In commodities, oil prices rose following data showing an expansion in manufacturing activity in China in December. [O/R]
Gold prices also climbed on the final trading day of a banner year for the metal, fueled by heavy central bank buying, geopolitical tensions and monetary policy easing by the world’s major banks . [GOL/]
Going forward, investors will focus on monthly employment data from Canada and the United States, which will offer guidance on the direction of monetary policy in both countries.
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