Bay Street Seen Opening With Positive Bias

(RTTNews) - The Canadian market is likely to open higher Friday morning, tracking steady European markets, crude oil prices, and strong earnings updates from U.S. banks JP Morgan and Wells Fargo.

In Canadian company news, Loblaw Companies Limited (L.TO) said this morning that it is planning to invest over $2 billion into the Canadian economy in 2023. The new investment will focus on its core retail experience, expanding its presence in communities, modernizing its supply chain, and making food and healthcare more accessible.

On the economic front, final data on Canadian manufacturing sales for the month of February is due at 8:30 AM ET. Preliminary data showed manufacturing sales in Canada declined by 2.8% month-on-month in February, marking the steepest drop since April 2020, after rising 4.1% in January 2023.

The Canadian market ended on a firm note on Thursday, led by gains in materials and technology sectors. Some key stocks from financials and energy sectors too posted strong gains.

The benchmark S&P/TSX Composite Index, which stayed positive right through the day's session, ended with a gain of 110.17 points or 0.54% at 20,564.49, a new one-month closing high.

Asian stocks ended mostly higher on Friday, as new data showed a continued easing on upward price pressure in the United States and Singapore's central bank sprang the surprise by leaving its monetary policy unchanged for the first time since April 2021.

European stocks are up firmly in positive territory amid hopes the Fed is nearing the end of its monetary policy tightening cycle.

Meanwhile, data from Destatis showed that Germany's wholesale price inflation slowed to the lowest in more than two years in March, easing to 2% in the month, from 8.9% in February.

In commodities, West Texas Intermediate Crude oil futures are up $0.14 or 0.17% at $82.30 a barrel.

Gold futures are down $7.70 or 0.37% at $2,047.60 an ounce, while Silver futures are gaining $0.185 or 0.71% at $26.110 an ounce.