TSX futures hover near six-week low before US inflation data
EWC•Enbridge expands U.S. liquids pipeline network
In corporate news, pipeline operator Enbridge ENB.TO said on Wednesday it will buy Tallgrass Energy's crude oil business for $2.55 billion in cash, expanding its U.S. liquids pipeline network by buying a majority stake in the Pony Express Pipeline and other assets.
Markets watch yields, oil and Middle East tensions
- Investor focus is squarely on U.S. producer inflation data due later in the day, as well as a consumer price index (CPI) report expected on Friday.
- The 10-year U.S. Treasury yields were at their highest since 2023 as the announcement of an enlarged Treasury buyback of longer-dated securities on Wednesday disappointed investors.
- Traders see more than a 60% chance of a Fed rate hike next week, according to CME Group's FedWatch tool, as rising yields and escalating tensions in the Middle East have rekindled fears of prolonged inflation.
- Brent crude prices were holding firm above $100 a barrel following the biggest wave of attacks on shipping in the Strait of Hormuz by Washington and Tehran on Wednesday. O/R
- President Donald Trump threatened to hit Iran's Pickaxe Mountain, a site associated with the Islamic Republic's nuclear program, and said that he expects the war to end after the midterm elections in the U.S.
- Spot gold XAU= prices eased after gaining early in the session, while silver and base metal copper prices also declined.
TSX futures steady ahead of U.S. inflation reports
September futures on the S&P/TSX index SXFcv1 were down 0.07% at 06:05 a.m. ET, hovering near their lowest since July 31.
Futures tracking Canada's blue-chip stocks were muted on Thursday, as markets awaited U.S. inflation data for clues on the Federal Reserve's monetary policy outlook, with elevated oil prices and bond yields keeping investor sentiment subdued.
