Lower Bullion Prices And Recession Fears Might Hurt Canadian Shares

(RTTNews) - Lower Canadian and U.S. futures and weak bullion prices point to a negative start for stocks in the Canadian market on Monday.

Rising concerns about a possible recession next year weigh on global stocks. The focus will be on Fed Chair Jerome Powell's keynote address at the Kansas City Fed's annual economic symposium this week.

On the economic front, data on new housing prices in Canada is due at 8:30 AM ET.

Canadian stocks ended lower on Friday, giving back ground following recent strength. The benchmark S&P/TSX Composite Index came under pressure early in the session and remained firmly negative throughout the day. The index ended the session down 153.99 points or 0.8% at 20,111.38.

Asian stocks turned in a mixed performance on Monday as investors awaited a slew of U.S. data and Fed Chair Powell's keynote address at the Kansas City Fed's two-day annual economic symposium for fresh clues on the economic and rate outlook.

European stocks are down in negative territory, with fears of aggressive monetary tightening and concerns over Europe's energy crisis keeping investors nervous.

Russia will halt natural gas supplies to Europe for three days at the end of the month, state energy giant Gazprom said on Friday, deepening the energy crunch that's threatening to plunge the region into a recession.

Bundesbank President Joachim Nagel told German newspaper Rheinischen Post that inflation in Germany could hit a 70-year high of 10% this fall as Russian natural-gas supplies slow.

In commodities trading, West Texas Intermediate Crude oil futures for September are up $0.43 or 0.47% at $91.20 a barrel.

Gold futures are down $16.80 or 0.95% at $1,746.10 an ounce, while Silver futures are lower by $0.299 or 1.57% at $18.770 an ounce.