Futures for Canada’s main stock index were marginally higher in choppy trade on Tuesday, as investors assessed Prime Minister Mark Carney-led Liberals’ victory in an election centred around the trade war with the U.S.
The TSX Composite Index gained 88.08 points to conclude Monday at 24,798.59
June futures were up 0.2% Tuesday.
The Canadian dollar retreated 0.9 cents to 72.2 cents U.S.
Liberals staged a major political comeback to retain power in parliamentary elections with 168 seats, but did not secure the outright majority of 172 that Carney had sought to negotiate with Trump on tariffs threatening Canada’s economy.
However, Carney, the first person to lead two G7 central banks, has the experience to earn immediate international credibility, experts say.
The Liberals’ leader had promised a tough approach to Washington’s import tariffs and said Canada would need to spend billions to reduce its reliance on the U.S.
Meanwhile, investors globally are also awaiting more clarity on the state of U.S.-China trade negotiations.
Canada’s auto parts suppliers may get a boost from reports that Trump’s administration may alleviate some duties imposed on foreign parts in domestically manufactured cars.
ON BAYSTREET
The TSX Venture Exchange retreated 0.64 points Monday to 653.18.
ON WALLSTREET
S&P 500 futures were little changed on Tuesday after the broad market index posted its fifth straight day of gains on Monday.
Futures for the Dow Jones Industrials shot higher 163 points, or 0.4% to 40,531.
Futures for the S&P 500 index was unchanged to 5,553
Futures for the NASDAQ Composite lopped off 11.5 points to 19,516.50.
General Motors fell more than 2% in the premarket after the automaker reported better-than-expected profit but said it was reassessing future guidance and suspending more share buybacks as it awaits clarity on the impact from the levies. Shares had risen earlier on reports that Trump was willing to make concessions on foreign-made parts used in domestic production.
GM’s decision follows a number of other companies that have announced they’re reconsidering their full-year forecasts in the wake of rising global trade tensions. Last week, American Airlines and Skechers withdrew their 2025 outlooks, with both companies citing economic uncertainty.
Investors are gearing up for a busy earnings week, with about one-third of S&P 500-listed firms slated to post results between Monday and Friday. Big Tech is of particular focus, with Meta Platforms and Microsoft expected on Wednesday and Apple and Amazon scheduled for Thursday.
Of the more than 36% of S&P 500 companies that have reported so far this season, about 73% have exceeded Wall Street expectations, modestly below the five-year average of 77%.
Markets in Japan were shuttered for a holiday Tuesday, while in Hong Kong, the Hang Seng edged up 0.2%.
Oil prices sank $1.04 to $61.01 U.S. a barrel.
Gold prices dipped $23.10 to $3,324.60 U.S. an ounce.