Bay Street Likely To Open With Negative Gap

(RTTNews) - Canadian shares look headed for a negative start on Tuesday, tracking weak European stocks and lower commodity prices amid worries about growth following highly disappointing Chinese trade data.

Investors await U.S. consumer price and producer inflation data that might influence the Fed's plans for possible interest rate hikes.

In company news, MAG Silver Corp (MAG.TO) reported net income of $19,390 or $0.19 per share for the three months ended June 30, 2023, compared with $7,562 or $0.08 per share for the three months ended June 30, 2022.

On the economic front, Canada trade data for the month of June is due at 8:30 AM ET.

Barrick Gold Corporation (ABX.TO) today announced a dividend of $0.10 per share for the second quarter of 2023.

The Canadian market ended on a firm note on Friday, led by gains in utilities, materials, energy and financials shares.

Data showing less than expected employment growth in Canada and the U.S. in the month of July raised expectations the central banks will soon end their policy tightening.

The benchmark S&P/TSX Composite Index, which climbed to 20,356.60, ended with a gain of 115.30 points or 0.57% at 20,236.04. The index shed 1.39% in the week.

Asian stocks ended Tuesday's session on a mixed note after the release of weak Chinese trade data and ahead of key inflation readings from the world's largest economies due this week.

The dollar traded firm in Asian trade while oil and gold prices edged lower

Chinese and Hong Kong stocks fell after data showed China's exports and imports both fell more than expected in July, threatening recovery prospects and adding to pressure on policymakers to unveil additional stimulus.

Chinese exports fell 14.5 percent from a year earlier in July, while imports tumbled 12.5 percent in a sign of weak overseas and domestic demand.

European stocks are down in negative territory, weighed down by weak Chinese trade data, and caution ahead of key inflation readings from the world's largest economies due this week.

In commodities, West Texas Intermediate Crude oil futures are down $1.81 or 2.21% at $80.13 a barrel.

Gold futures are down $12.10 or 0.61% at $1,957.90 an ounce, while Silver futures are lower by $0.302 or 1.3% at $22.930 an ounce.