Bay Street May Open Slightly Higher

(RTTNews) - Canadian stocks may open on a positive note Tuesday morning amid expectations of a rate cut by the Federal Reserve next month. The focus will be on trade talks between Canad and Mexico.

According to CME Fedwatch, there is a 94% possibility of the U.S. Central Bank cutting interest rate in September.

Weak oil and gold prices could hurt energy and gold stocks and limit market's upside.

Suncor Energy, Great West Lifeco, Finning International and SSR Mining are scheduled to announce their quarterly results today.

First Quantum Minerals shares will be in focus after the company announced that it has signed a $1 billion gold streaming deal with Royal Gold.

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

The Canadian market ended notably lower on Friday as investors began to gauge the effect of new tariffs imposed by the US President on Canada, which are set to take effect in a week.

The benchmark S&P/TSX Composite Index settled at 27,020.43, down by 239.35 points or 0.88%. The Canadian market was closed for Civic Day holiday on Monday.

Asian stocks closed higher on Tuesday, extending gains from previous session, after a Federal Reserve official said the time is nearing for interest rate cuts.

Tech shares were in demand after data intelligence group Palantir boosted its 2025 outlook and said its sales jumped almost 50% in the second quarter amid robust demand for artificial intelligence services.

The major European markets are up in positive territory today, with some upbeat earnings updates, and expectations of an interest rate cut by the Federal Reserve aid sentiment.

In commodities trading, West Texas Intermediate Crude oil futures are down $0.79 or 1.19% at $65.50 an ounce.

Gold futures are down $12.50 or 0.37% at $3,413.90 an ounce, while Silver futures are up $0.047 or 0.12% at $37.375 an ounce.