Jan 6 (Reuters) – Futures tracking Canada’s main stock index inched higher on Monday ahead of crucial economic data in the week, while investors exercised some caution after reports Prime Minister Justin Trudeau likely to announce resignation.
March futures on the S&P/TSX index were up 0.4%, as of 6.41 a.m. ET (1141 a.m. GMT).
Trudeau is increasingly likely to announce he intends to step down, though he has not made a final decision, a source said on Sunday. His resignation could spur calls for a fresh election, adding some uncertainty to the political landscape.
Calls for Trudeau to step aside have grown since December, when his closest ally Chrystia Freeland resigned as the country’s finance minister after clashing with him on issues including how to handle possible U.S. tariffs.
Separately, focus will be on the domestic employment data, scheduled to release on Friday, to gauge the Canadian economy’s health and the interest rate path of the Bank of Canada. Traders are anticipating a near 70% chance for a 25-basis-point rate cut.
Additionally, investors will be hawk-eyed for the U.S. nonfarm payrolls data, also due on Friday, and comments by Federal Reserve officials, including the influential Fed Governor Christopher Waller, for any clues on the central bank’s policy easing.
Minutes from the Fed’s last meeting are scheduled on Wednesday.
Back home, the Toronto Stock Exchange’s S&P/TSX composite index (.GSPTSE)
, opens new tab ended 0.7% higher on Friday to round out a positive holiday-shortened week.
Among commodities, oil prices , steadied at their highest since mid-October in the day, as colder weather spurred buying. Gold prices were also up.
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Reporting by Ragini Mathur in Bengaluru; Editing by Shilpi Majumdar
Our Standards: The Thomson Reuters Trust Principles.
