Futures tracking Canadian stocks edged higher on Thursday as a pullback in oil prices eased pressure on credit-sensitive shares. Energy-driven inflation worries have weighed on major banks since the onset of the U.S.-Iran war, reinforcing expectations that interest rates may remain elevated for longer.
Oil prices retreated as hopes for peace talks tempered concerns about potential supply disruptions in the Middle East, providing some relief to rate-sensitive parts of the market. However, the decline in gold prices is expected to pressure mining stocks.
Several miners released third-quarter results after Wednesday’s close. Agnico Eagle, Kinross, and First Quantum all beat profit expectations, while Alamos fell short of estimates.
In the technology sector, trading is likely to be guided by a mixed set of U.S. earnings, with Microsoft posting strong results and Alphabet lagging. Looking ahead, Cameco and Imperial Oil are scheduled to report earnings on Friday.