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Bay Street Set To Open On Bright Note

Canadian shares look headed for a strong opening on Wednesday, tracking higher U.S. futures after U.S. midterm election results came in line with expectations.

Higher gold and crude oil prices are likely to trigger some brisk buying in materials and energy sections.

In the U.S. midterm elections, Democrats seized the House majority from President Donald Trump's Republican Party, a development that would give them power to investigate Trump and help shape the nation's political agenda for the next two years.

Republicans retained control of the Senate, implying that the White House will still have the upper hand on getting key appointments approved.

On Tuesday, the benchmark S&P/TSX Composite Index ended up 75.01 points, or 0.49%, at 15,292.71, after scaling a low of 15,220.16 and a high of 15,295.31 in the session.

In company news, Imperial Oil Ltd. (IM.TO) has announced that it will go ahead with its $2.6-billion Aspen oilsands project. Construction will begin this year, with the project expected to start up in 2022, the company said. The
Aspen project, located about 45 kilometres northeast of Fort McMurray, Alta., is expected to produce about 75,000 barrels of bitumen per day.

Spin Master Corp. (TOY.TO) reported adjusted net income of US$117.7 million, or US$1.16 per share, for the third quarter, compared to US$111.7 million, or US$1.10 per share, in the year-ago quarter.

Canadian Pacific Railway (CP.TO) has announced that it delivered record shipments of grain and biofuels in October. The railway said it moved 2.64 million tonnes of Canadian grain and grain products in the month, breaking the previous high set in September 2017. The company said it has shipped more than 7.5 million tonnes of grain and grain products through 14 weeks of the 2018-19 crop year.

Asian markets ended mixed on Wednesday. Price movements were quite sluggish in the markets, amid mixed reaction from investors to the U.S. midterm election results that came in line with expectations.

European markets rallied sharply as investors digested the U.S. midterm election results and looked ahead to the Federal Reserve's monetary policy announcement, due on Thursday.

In economic news from Europe, retail sales in the euro area held unchanged in September after growing in the previous month, preliminary data from Eurostat revealed. Retail sales were flat sequentially, while economists expected a modest 0.1% gain.

Preliminary figures from the Federal Statistical Office showed Germany's industrial production to have risen for a second straight month in September, defying expectations for a modest decline, Production grew a calendar and
seasonally adjusted 0.2%. Economists had forecast a 0.1% decline. August's 0.3% decline was revised to a 0.1% gain.

Elsewhere, U.K house price inflation eased sharply in October to its lowest level since March 2013, survey data from IHS Markit and Lloyds Banking Group unit Halifax showed. The Halifax house price index rose 1.5% year-on-year in the three months to October, which was sharply slower than the 2.5% increase in September. Economists had forecast a 1.3% climb.

In commodities, crude oil futures for December were rising $0.63, or 1.02%, at $62.84 a barrel.

Gold futures for December were up $10.70, or 0.9%, at $1,234.50 an ounce, as the U.S. dollar weakened against most major currencies.

Silver futures were gaining $0.277, or 1.57%, at 14.685 an ounce, while Copper futures for December were up $0.0275, or 1.01%, at $2.7600 per pound.

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