Bay Street Likely To Open Higher, But Weak Metal Prices May Hurt

(RTTNews) - Canadian shares are likely to open higher on Monday amid slightly easing concerns about inflation and interest rate outlook, and easing fears of a wider Middle East conflict following Iran and Israel completing 'measured' counterattacks that were calibrated to avoid any casualties.

Weak crude oil and gold prices may weigh on energy and materials stocks and limit market's upside.

In company news, Gildan Activewear Inc (GIL.TO) has announced some changes to its board, and said it will hold an investor day in the fall to provide a "comprehensive strategic plan" to sell the company.

ARC Resources Ltd. (ARX.TO), Cenovus Energy (CVE.TO), Suncor Energy (SU.TO) and Lundin Gold Inc (LUG.TO) shares are likely to be in focus following rating upgrades.

The Canadian market ended higher on Friday, lifted by gains in utilities, financials, energy and communications sectors.

The benchmark S&P/TSX Composite Index ended with a gain of 98.93 points or 0.46% at 21,807.37. The index touched a low of 21,679.80 and a high of 21,871.49 in the session. The index shed about 0.4% in the week.

Asian stocks rebounded on Monday, while the dollar, oil and gold all pulled back from their recent highs as fears of a wider conflict in the Middle East ebbed.

Investors gravitated back towards riskier assets after Iran played down Israel's reported retaliatory attacks on its soil.

Meanwhile, a continued drop in oil prices on growth concerns and signs of rising inventory in the United States helped ease investor concerns surrounding inflation and interest rates.

European stocks are up in positive territory amid easing concerns about Middle East tensions following Iran and Israel completing 'measured' counterattacks that were caliberated to avoid any casualties. Easing concerns about inflation and the outlook for interest rates contribute as well to the positive mood in the markets.

In commodities, West Texas Intermediate Crude oil futures are down $0.09 or 0.11% at $83.05 a barrel.

Gold futures are down $45.80 or 1.9% at $2,368.00 an ounce, while Silver futures are lower by $1.194 or 4.14% at $27.650 an ounce.