Bay Street Likely To Open On Firm Note

(RTTNews) - Canadian shares are likely to open on a positive note on Monday, tracking sharply higher crude oil prices.

Oil prices jumped more than 4% ahead of the Oct. 5 OPEC+ meeting.

Worries about global economic slowdown and interest rate hikes might hurt sentiment and limit market's upside.

Data on Canadian manufacturing activity for the month of September is due at 9.30 AM ET.

The S&P Global Canada Manufacturing PMI fell to 48.7 in August of 2022, down from 52.5 in July. The latest fall ended a 25-month sequence of growth.

The Canadian market rallied after a slightly weak start on Friday, but shed gains gradually towards the end of the session and finally settled flat.

Worries that aggressive rate hikes by central banks could hurt growth and push global economy into a recession weighed on the market towards the later part of the day's session.

The benchmark S&P/TSX Composite Index, which rallied to 18,685.04, gaining nearly 250 points in the process, ended with just a marginal gain of 2.38 points or 0.01% at 18,444.22.

Asian stocks ended lower on Monday as inflation and interest-rate worries lingered, and oil prices spiked on speculation over OPEC+ cutting production substantially this week.

Trading volumes were thin as Chinese markets kicked off the Golden Week holiday. South Korean markets were also shut.

European stocks are down in negative territory with last week's red-hot inflation data stoking expectations of aggressive interest rate hikes by the European Central Bank.

Growth worries returned to the fore after a survey showed manufacturing activity across the eurozone declined further last month as a result of rising inflationary pressures and concerns about the economic outlook.

In commodities trading, West Texas Intermediate Crude oil futures are up $3.30 or 4.15% at $82.82 a barrel.

Gold futures are up $1.20 or 0.07% at $1,673.20 an ounce, while Silver futures are gaining $0.396 or 2.08% at $19.435 an ounce.