Bay Street Likely To Open Lower; Inflation Data In Focus

(RTTNews) - Lower Canadian and U.S. index futures, and weak bullion prices point to a negative start for the Canadian market on Wednesday. The consumer price inflation data is set to make a significant impact on the market.

Data on Canadian inflation for the month of September is due at 8:30 AM ET.

Canada's annual inflation rate slowed to 7% in August of 2022, from 7.6% in July and below market estimates of 7.3%. On a monthly basis, consumer prices fell 0.3%, the first decrease since December 2021 and the steepest since the start of the pandemic in April 2020.

The core CPI inflation rate in Canada decreased to 5.8% in August 2022, down from 6.1% in July.

Data on Canadian producer prices and a report on Canadian raw materials prices for the month of September are also due at 8:30 AM ET.

After ending the previous session notably higher, Canadian stocks showed another strong move to the upside during trading on Tuesday.

The benchmark S&P/TSX Composite Index gave back some ground after an early spike but still closed up 177.16 points or 1.0 percent at 18,798.18.

Asian stocks ended mixed on Wednesday with the benchmarks in Japan, Australia and New Zealand tracking Tuesday's positive sentiment at Wall Street. Stock market performance in China, Hong Kong and South Korea was negative amidst concerns over inflation and economic growth.

European stocks are turning in a mixed performance in cautious trade with investors digesting a slew of earnings announcements and the latest batch of economic data from the region.

In commodities trading, West Texas Intermediate Crude oil futures are up $1.04 or 1.26% at $83.86 a barrel.

Gold futures are down $19.40 or 1.17% at $1,636.40 an ounce, while Silver futures are lower by $0.260 or 1.4% at $18.340 an ounce.