FX.co ★ TSX Futures Slip on Higher Inflation and Lower Gold Prices

Futures for the S&P/TSX Composite Index fell sharply on Tuesday, in stark contrast to U.S. indices, due to weaker commodity prices and the potential for restrictive monetary policy. Canada's overall inflation climbed to 2.4% in September, marking a seven-month high and surpassing market predictions. Meanwhile, core inflation indicators watched by the Bank of Canada remained steady, defying expectations of a slowdown and tempering the likelihood of a rate cut from the central bank next week. Consequently, gold prices decreased as investors capitalized on recent record highs, and easing trade tensions between the U.S. and China put pressure on mining companies like Barrick, Agnico Eagle, and Wheaton Precious Metals. Oil prices experienced a slight recovery following a decline on Monday, offering marginal support to Canadian energy firms like Canadian Natural Resources, Suncor Energy, and Imperial Oil. In terms of earnings, Waste Connections is projected to announce earnings per share of C$1.38 with revenue reaching C$2.45 billion. Additionally, UBS has revised its price target for Waste Connections down to C$190, citing moderate sector performance expectations for 2025.