Bay Street Seen Opening On Firm Note

(RTTNews) - Canadian shares likely to open on a firm note on Friday, tracking positive cues from European markets and higher commodity prices.

The focus will be on U.S. monthly jobs report that will give more information about the state of the world's largest economy.

In Canadian corporate news, Sun Life Financial Inc. (SLF.TO) said that it plans to acquire a 51% interest in Advisors Asset Management, Inc. or AAM for US$214 million subject to customary adjustments with a put/call option to acquire the remaining 49% starting in 2028.

Barrick Gold Corp. (ABX.TO) said that it agreed to sell a portfolio of royalties to Maverix Metals Inc. for total consideration of up to US$60 million.

The total consideration of $60 million consists of $50 million in cash payable on closing of the Portfolio sale, subject to the exercise of any right of first refusal or buy-down right by the counterparties under certain royalties, and three contingent payments.

Data on Canadian labor productivity in the second quarter is due at 8:30 AM ET. Labour productivity in Canada declined by 0.5% in the first quarter of 2022, marking the seventh consecutive quarterly decrease.

Canadian stocks drifted lower on Thursday, extending recent losses, as worries about a global recession triggered another round of selling almost across the board.

Data showing contraction in manufacturing activity in China, Japan, the U.K., and the euro area, and rising concerns about aggressive interest rate hikes by the Federal Reserve and other central banks rendered the mood quite bearish.

Weak crude oil and gold prices took a toll of energy and materials shares. Shares from technology and healthcare sectors too closed notably lower.

The benchmark S&P/TSX Composite Index, which plunged to 18,986.19 intraday, ended the session with a loss of 188.09 points or 0.97% at 19,142.72, extending losses to a fourth session.

Asian stocks ended mixed on Friday as investors awaited a key U.S. jobs report due later in the day that could influence Federal Reserve plans for more interest rate hikes to curb record-high inflation.

European stocks are up firmly in positive territory, recovering from recent losses, despite mounting concerns over Europe's energy crisis and slowing growth momentum in the global economy.

In commodities trading, West Texas Intermediate Crude oil futures are up $1.62 or 1.87% at $88.23 a barrel.

Gold futures are gaining $7.50 or 0.44% at $1,716.70 an ounce, while Silver futures are up $0.104 or 0.59% at $17.770 an ounce.