Bay Street Seen Opening Slightly Higher; U.S. Inflation Data In Focus

(RTTNews) - Higher crude oil and bullion prices point to a slightly positive start for the Canadian market Thursday morning. The focus will be U.S. consumer price inflation data. With a slew of big name U.S. banks set to report their quarterly earnings on Friday, the mood is likely to remain a bit cautious.

Economists forecast annual U.S. CPI slowed to 3.1% in June from 3.3% in May.

In Canadian earnings news, MTY Food Group Inc (MTY.TO) reported second-quarter net income of $27.3 million or $1.13 per diulted share, down 10% compared to net income of $30.4 million, or $1.24 per diluted share in the second quarter of the previous year.

Cogeco Inc (CGO.TO), Cogeco Communications Inc (CCA.TO) and Organigram Holdings Inc (OGI.TO) are scheduled to announce their quarterly results today.

The Canadian market ended on a strong note on Wednesday thanks to sustained buying in energy and materials shares. Expectations of an interest rate cut by the Federal Reserve helped underpin sentiment.

Industrials, utilities, consumer discretionary, consumer staples, healthcare and financials shares were among the other notable gainers in the session.

The benchmark S&P/TSX Composite Index ended with a gain of 307.73 points or 1.4% at 22,350.23, slightly off the day's high of 22,354.11.

Asian stocks hit record highs on Thursday after Federal Reserve Chair Jerome Powell said the U.S. central bank will make interest rate decisions "when and as" they are needed, regardless of political factors.

Amid rising hopes for a September rate cut, investors awaited the release of U.S. CPI report later in the day for further direction.

Economists forecast annual U.S. CPI slowed to 3.1 percent in June from 3.3 percent in May.

European stocks are slightly higher, with underlying sentiment supported by encouraging economic data from Germany and U.K. as well as expectations of a Federal Reserve rate cut in September.

Soft inflation data from Germany has left the door open for another European Central Bank rate cut in September. The consumer price index rose 2.2% in June, following May's 3-month high of 2.4%. That was in line with the flash data published earlier.

In commodities, West Texas Intermediate Crude oil futures are up $0.21 or 0.26% at $82.31 a barrel.

Gold futures are gaining $8.10 or 0.34% at $2,387.80 an ounce, while Silver futures are up $0.241 or 0.78% at $31.255 an ounce.