Bay Street Likely To Open Lower On Weak Global Cues

(RTTNews) - Global cues point to a weak start on Bay Street Friday morning, but rising crude oil and bullion prices may trigger some buying in energy and materials sectors and help limit market's downside.

The mood is likely to remain cautious amid escalating tensions in the Middle East, rising treasury yields and on concerns about slowing global economy.

On the economic front, data on Canadian retail sales for the month of August is due at 8:30 AM ET. Retail sales in Canada are expected to have contracted by 0.3% from the previous month in August, according to preliminary estimate. In July retail sales advanced by 0.3%, up from 0.1%, a month earlier.

The Canadian market closed at a two-week low on Thursday, as stocks fell amid concerns about interest rates and geopolitical tensions.

The benchmark S&P/TSX Composite Index ended with a loss of 101.89 points or 0.52% at 19,348.81.

Asian stocks tumbled on Friday as escalating Middle East tensions and a continued surge in oil prices clouded the outlook for global economic growth.

Gold scaled a three-month peak on safe-haven bids amid fears the Israel-Hamas war may escalate into something of a broader regional crisis.

Israeli Defense Minister Yoav Gallant told troops gathered at the Gaza border on Thursday that they would soon see the Palestinian enclave "from inside."

European stocks are down firmly in negative territory amid concerns the central banks will likely keep interest rates higher for longer to tame inflation.

In commodities, West Texas Intermediate Crude oil futures are up $1.13 or 1.26% at $90.50 a barrel.

Gold futures are gaining $10.50 or 0.53% at $1,991.00 an ounce, while Silver futures are up $0.304 or 1.32% at $13.335 an ounce.