Equities<\/p>\n
Global markets slid as renewed fighting in the Middle East lifted oil prices and investors worried about inflation and braced for a slew of interest \u2060rate hikes.<\/p>\n
Wall Street futures were in the red after major North American markets closed down yesterday. <\/p>\n
TSX futures followed sentiment lower.<\/p>\n
In Canada, investors are getting results from Alimentation Couche-Tard Inc.<\/p>\n
On Wall Street, markets are watching earnings from Dell Technologies Inc., Palo Alto Networks Inc. and Medtronic PLC. <\/p>\n
The surge in energy prices as well as hawkish remarks \u200bfrom Federal Reserve Chair Kevin Warsh last week have prompted investors \u2060to price in interest rate hikes from major central banks. Traders expect the European \u2060Central Bank to hike rates by 25 basis points as early as next week, LSEG data showed.<\/p>\n
\u201cIn our \u200binterpretation, this still falls into the \u2019insurance\u2019 hike classification, but further tightening from there \u2013 which is widely priced in by markets \u2013 would instead imply that the ECB sees restrictive policy as necessary, a much bolder move unless data shows a core inflation uptrend,\u201d ING analysts said in a note.<\/p>\n
Overseas, the pan-European STOXX 600 was down 0.81 per cent in morning trading. Britain\u2019s FTSE 100 dropped 1.07 per cent, Germany\u2019s DAX gave back 1.26 per cent and France\u2019s CAC 40 retreated 0.52 per cent. <\/p>\n
In Asia, Japan\u2019s Nikkei closed 0.15 per cent lower, while Hong Kong\u2019s Hang Seng fell 0.93 per cent. <\/p>\n
Commodities<\/p>\n
Oil prices rose as the resumption of \u200bfighting between the U.S. and Iran in the \u200cMiddle East renewed fears of supply disruptions from the world\u2019s key crude-producing region.<\/p>\n
Brent crude futures were up 2.2 per cent to US$92.48 a barrel, while West \u2060Texas Intermediate (WTI) \u200bcrude gained2.7 per cent to US$88.06.<\/p>\n
Yesterday, U.S. President Donald Trump threatened \u200bfurther strikes against Iran following the first exchange of \u200cdirect attacks between the countries in a month on Sunday, raising tensions in a conflict that had recently shifted into an economic standoff.<\/p>\n
\u201cThese bring the potential for Iranian retaliation back into the equation. That in turn raises the prospect of damage to energy infrastructure around the Gulf \u200cand adds fresh \u200buncertainty for shipping through \u200cthe Strait of Hormuz. Both of those risks are being reflected in the firmer \u200btone in crude prices,\u201d said Tim Waterer, chief market \u2060analyst at KCM.<\/p>\n
In other commodities, spot gold was down 1.2 per cent to US$4,393.89 an \u2060ounce. U.S. gold futures fell 0.9 per cent to US$4,443.10.<\/p>\n
Currencies and bonds<\/p>\n
The Canadian dollar weakened against its U.S. counterpart.<\/p>\n
The day range on the loonie was 72.05 US cents to 72.23 US cents in early trading. The Canadian dollar was up about 1.4 per cent against the greenback over the past month. It traded at $1.3869 per US$1. <\/p>\n
The U.S. dollar index, which weighs the greenback against a group of currencies, gained 0.12 per cent to 99.54. <\/p>\n
The euro slid 0.16 per cent to US$1.1598. The British pound declined 0.02 per cent to US$1.3545. <\/p>\n
In bonds, the yield on the U.S. 10-year note was last up at 4.792 per cent. <\/p>\n
Economic news<\/p>\n
Japan\u2019s capital spending and manufacturing PMI<\/p>\n
Euro zone CPI, manufacturing PMI and jobless rate<\/p>\n
9:30 a.m. ET: Canada\u2019s S&P Global Manufacturing PMI for August.<\/p>\n
9:45 a.m. ET: U.S. S&P Global Manufacturing PMI for August.<\/p>\n
10 a.m. ET: U.S. construction spending for July.<\/p>\n
10 a.m. ET: U.S. ISM Manufacturing for August.<\/p>\n
10 a.m. ET: U.S. Job Openings & Labor Turnover Survey for July.<\/p>\n
Also: Canadian and U.S. auto sales for August.<\/p>\n
With Reuters and The Canadian Press<\/p>\n","protected":false},"excerpt":{"rendered":"Equities Global markets slid as renewed fighting in the Middle East lifted oil prices and investors worried about…\n","protected":false},"author":2,"featured_media":190810,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[1634,17,1635,1627,1629,1630,1632,1636,1448,1637,1631,1628,1633,818],"class_list":["post-190809","post","type-post","status-publish","format-standard","has-post-thumbnail","category-canada","tag-bonds","tag-canada","tag-canadian-dollar","tag-dow-jones","tag-equities","tag-futures","tag-gold","tag-loonie","tag-nasdaq","tag-newnewsletter","tag-oil","tag-sd","tag-silver","tag-tsx"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/190809","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/comments?post=190809"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/posts\/190809\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media\/190810"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/media?parent=190809"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/categories?post=190809"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/canada\/wp-json\/wp\/v2\/tags?post=190809"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}