Bay Street Likely To Open On Firm Note

(RTTNews) - Higher Canadian and U.S. stock futures and firm commodity prices point to a start on Bay Street Tuesday morning.

Oil prices have rebounded on dollar's mild retreat, and supply curbs in the U.S. Gulf of Mexico ahead of Hurricane Ian.

Most of the markets in Asia and Europe recovered on bargain hunting after recent losses.

After a weak start, the Canadian market recovered and saw a brief spell in positive territory Monday morning, but faltered soon and then spent the rest of the day's session in the red.

The mood in the market was quite bearish amid rising fears the aggressive monetary tightening by the Federal Reserve and several other central banks could push the global economy into a recession.

The benchmark S&P/TSX Composite Index, which plunged to a new 52-week low, ended with a loss of 153.94 points or 0.83% at 18,327.04, off the day's low of 18,273.00.

Asian stocks closed broadly higher on Tuesday after recent string of losses on worries that efforts by central banks to curb inflation may trigger a global inflation.

The Chinese market gained after the People's Bank of China injected about $24.7 billion of liquidity via repo market operations to maintain liquidity in the banking system ahead of he quarter's end.

European stocks rebounded on Tuesday, as the dollar paused for breath and U.K. ten-year gilt yields slipped back after their recent surges.

The euro rose and the British pound stabilized after the Bank of England (BoE) vowed it "will not hesitate" to change interest rates by as much as needed, intending to reassure markets unnerved by last Friday's budget.

The BoE governor said the central bank is closely monitoring the weakness in the pound amid the turmoil in markets which saw the pound fall to a record low against the dollar.

In commodities trading, West Texas Intermediate Crude oil futures are up $1.10 or 1.43% at $77.81 a barrel.

Gold futures are gaining $14.20 or 0.87% at $1,647.60 an ounce, while Silver futures are up $0.270 or 1.46% at $18.750 an ounce.