(Reuters) – Canada’s main stock index was set to open higher on Wednesday as oil and gold prices jumped after Russian President Vladimir Putin announced a partial military mobilization, while investors focused on the U.S. Federal Reserve’s rate decision later in the day.
Futures on the S&P/TSX index were up 0.2% at 06:36 a.m. ET.
Crude oil prices jumped more than 2% after Putin’s announcement raised concerns of tighter oil and gas supply, while gold prices climbed on safe-haven interest in bullion. [O/R] [GOL/]
However, investors remained nervous ahead of an expected rate hike by the Fed at 2 p.m. EDT (1800 GMT), which will be followed by a news conference from Fed Chair Jerome Powell.
The Toronto Stock Exchange’s S&P/TSX composite index ended nearly 1% lower on Tuesday as the prospect of aggressive rate hikes by the Fed added to worries about the global economic outlook, even as data showed Canadian inflation eased again in August. [.TO]
Inflation in Canada remains “too high” but is headed in the right direction, a Bank of Canada official said on Tuesday, adding the central bank will do whatever is needed to bring price increases back to target.
Meanwhile, in the U.S., Dow e-minis were up 56 points, or 0.18%, at 06:36 a.m. ET, while S&P 500 e-minis were up 5.75 points, or 0.15%, and Nasdaq 100 e-minis were down 4.25 points, or 0.04%. [.N]
(Reporting by Bansari Mayur Kamdar in Bengaluru; Editing by Krishna Chandra Eluri)
