Bay Street Seen Opening Higher

Canadian shares are likely to open higher on Friday, tracking firm bullion prices and broadly higher European stocks.

Worries about growth might limit market's upside. Investors will also be reacting to the latest batch of earnings updates.

National Bank of Canada (NA.TO) reported second-quarter net income of $893 million, compared to net income of $801 million in the second quarter of 2021.

Canopy Growth Corp. (WEED.TO) reported a net loss of C$574.62 million or C$1.46 per share for the fourth quarter, sharply narrower than a net loss of C$699.98 million or C$1.85 per share in the prior-year quarter.

The Canadian market ended on a firm note on Thursday, extending gains to a fifth straight session, as stocks from across several sectors posted gains on sustained buying interest. The benchmark S&P/TSX Composite Index ended higher by 148.43 points or 0.73% at 20,532.18, nearly 100 points off the day's high of 20,624.73.

Asian stocks ended broadly higher on Friday, tracking positive cues from Wall Street where the major averages ended higher on Thursday following strong earnings from retailers. Investors also took comfort from the latest FOMC minutes suggesting that the Fed wants to slow the tightening cycle in the second half of the year following half-percentage-point rate hikes in June and July.

European stocks are up, extending gains to a third day, with strong earnings from U.S. retailers and expectations that the Federal Reserve may become less aggressive in tightening rates later in the year helping underpin sentiment.

In commodities trading, West Texas Intermediate Crude oil futures are down $0.79 or 0.7% at $113.30 a barrel.

Gold futures are up $9.60 or 0.52% at $1,857.20 an ounce, while Silver futures are gaining $0.415 or 1.89% at $22.380 an ounce.

For comments and feedback contact: editorial@rttnews.com

Market Analysis

Follow RTT