FX.co ★ Bay Street Seen Opening Higher; U.S. PCE Index Reading In Focus

Strong commodity prices and heightened futures in U.S. and Canadian markets indicate an optimistic start to stock trading on Bay Street this Friday morning.

Investors will have their attention riveted on the details of the core Personal Consumption Expenditures (PCE) Price Index, the preferred gauge of inflation for the U.S. Federal Reserve, to be released at 8:30 AM ET.

On the Canadian economy's side, a recent report from the Canadian Federation of Independent Business unveiled a dip in its business barometer for Canada to 47.5 in April from a revised higher 52.9 the previous month, reflecting the 12-month forward business performance expectations across the country.

Imperial Oil Limited (IMO.TO) reported a hit to their first-quarter net income, from $1,248 million in last year's first quarter, down to $1,195 million this year.

TFI International Inc (TFII.TO) also faced a decline, with a first-quarter net income of $92.8 million compared to $111.9 million in Q1 2023. However, the first quarter of 2024 adjusted net income reported $105.5 million compared to $116.5 million in the previous year.

Eldorado Gold Corporation (ELD.TO) stood out with adjusted net earnings of $55.2 million for the first quarter of 2024, a significant increase from the adjusted net earnings of $16.7 million in the same period last year.

After a shaky start and initial decline on Thursday morning, the Canadian market showed some resilience, recovering gradually before closing with a slight gain. Despite an early plunge of 235 points to 21,638.37, the benchmark S&P / TSX Composite Index made a rebound to 21,920.15 before settling at 21,885.38, representing a gain of 11.66 points or 0.05%.

The performance of tech giants Microsoft and Google's parent company, Alphabet, lifting first-quarter expectations, spurred a gain on Asian stocks, balancing out the disappointing forward guidance from Meta Platforms.

European stocks are performing well, due to strong results from Microsoft and Alphabet, and an ECB survey revealing that Eurozone consumers have lessened their inflation expectations over the next 12 months as of March.

In terms of commodities, the West Texas Intermediate Crude oil futures have enjoyed a rise of $0.71 or 0.85% to $84.28 per barrel. Gold futures have seen a $14.80 or 0.63% increase to $2,357.30 an ounce, while silver futures have gone up $0.262 or 0.96% to $27.615 an ounce.