Canadian markets are poised for a muted start on Monday, with investors searching for clear indicators to guide trading sentiment. Trading activity is anticipated to be light due to the closure of the U.S. markets for Martin Luther King, Jr. Day.
Attention will center on the inauguration of Donald Trump as the President of the United States and his accompanying address. There is heightened speculation that some of Trump’s key policy proclamations could introduce significant unpredictability for businesses.
On Friday, the Canadian market concluded with marked gains, culminating in a fourth consecutive session of advancements. This positive trajectory was fueled by renewed optimism regarding U.S. interest rates, spurred by recent inflation data.
The S&P/TSX Composite Index maintained its robust position throughout the trading day, surging by 221.72 points or 0.9%, to close at 25,067.92.
Monday saw most Asian markets end on a high note, buoyed by the previous Friday's Wall Street gains, alongside hopeful sentiment surrounding potential interest rate cuts. However, these gains were tempered by the U.S. holiday and investor caution leading up to the inauguration of U.S. President-elect Donald Trump.
In Europe, stocks experienced a slight decline following an initial uptick at session commencement. Market sentiment remains cautious as investors await Trump's inauguration.
In the commodities sector, West Texas Intermediate Crude oil futures are seeing a modest increase of $0.22 or 0.28%, pricing at $78.10 per barrel. Meanwhile, gold futures have edged down slightly to $2,748.40 per ounce, and silver futures have decreased by $0.066 or 0.21%, standing at $31.075 per ounce.
