Bay Street Likely To See Mixed Open

(RTTNews) - The Canadian market may open on a mixed note on Tuesday as bargain hunting is likely in some frontline stocks. However, the mood is likely to remain cautious amid rising bond yields, and persisting worries about economic slowdown.

Amid rising bets the Federal Reserve will keep interest rates higher for longer than previously expected, the dollar rose, and the yield on long term Treasury Note soared to 16-year high.

The dollar index held close to its highest since November 2022 and the U.S. 10-year Treasury yields notched a 16-year high, keeping gold prices under pressure in Asian trading.

Newmont Corporation (NGT.TO) announced the Securities Commission of Papua New Guinea has granted the necessary exemptions and other requested confirmations under PNG capital markets law to allow the company to proceed with its proposed acquisition of Newcrest Mining Limited (NCM.TO). The transaction is expected to be completed in the fourth quarter of the year.

Barrick Gold Corporation (ABX.TO) announced that it will invest nearly $2 billion to expand its Lumwana mine in Zambia. The expansion project at Lumwana will boost annual production to an estimated 240,000 metric tons of copper, up from 50-million ton a year.

Canadian stocks struggled for the third session running as rising bond yields and weak commodity prices rendered the mood bearish on Tuesday.

The benchmark S&P/TSX Composite Index, which dropped to a low of 18,945.79, ended down 156.26 points or 0.81% at 19,020.92.

Asian stocks succumbed to selling pressure on Wednesday as signs of a strong U.S. job market added to fears that high interest rates could weigh on global growth.

European stocks reversed early losses to turn higher on Wednesday, as investors reacted to a slew of economic data and European Central Bank (ECB) President Lagarde's speech at a conference in Frankfurt.

Lagarde reiterated today that borrowing costs will remain elevated for some time to curb inflation.

In commodities, West Texas Intermediate Crude oil futures are down $1.61 or 1.8% at $87.62 a barrel.

Gold futures are down slightly at $1,841.30 an ounce, while Silver futures are up marginally at $21.390 an ounce.