Bay Street May Open Higher

(RTTNews) - The Canadian market is likely to open on a positive note on Friday, tracking firm European stocks amid easing concerns over U.S.-China trade tensions after Beijing stated its willingness to engage in tariff negotiations with the United States.

At the same time, Beijing has also noted that the U.S. needs to show "sincerity" in negotiations and should be prepared to cancel its unilateral tariffs.

Investors will also be reacting to a slew of Canadian earnings announcements, and updates from big name U.S. companies.

Magna International Inc. (MG.TO) reported first-quarter earnings of $146 million or $0.52 per share, significantly higher than $9 million or $0.03 per share last year. Adjusted earnings were $219 million or $0.78 per share for the period, compared to $1.08 per share a year ago. Analysts had expected the company to earn $0.86 per share.

The Canadian market ended on a weak note on Thursday after stocks showed a lack of direction over the course of the trading session.

The S&P/TSX Composite Index ended the day down 46.13 points or 0.2% at 24,795.55, adding to the modest loss posted in the previous session.

The modestly lower close on Bay Street came amid substantial weakness among gold stocks, as the S&P/TSX Global Gold Index plunged by 3.4 percent

Asian stocks advanced on Friday after China said it is evaluating the possibility of trade talks with the United States, raising hopes of trade war de-escalation. Regional trading volumes were muted as mainland Chinese markets remained closed for Labour Day.

The major European markets are up in positive territory with investors picking up stocks, reacting to the developments on the trade front, regional economic data, and a slew of earnings updates from major European companies.

In commodities trading, West Texas Intermediate Crude oil futures are down $0.59 or 1% at $ 58.65 a barrel.

Gold futures are gaining $41.40 or 1.37% at $3,263.60 an ounce, while Silver futures are up $$0.116 or 0.34% at $32.585 an ounce.