FX.co ★ Higher Commodity Prices Point To Slightly Positive Start On Bay Street

Higher crude oil prices suggest a promising start for the Canadian market on Wednesday. However, the impending U.S. inflation data, set for release before the market opens, is expected to significantly influence early trading sentiment.

The Labor Department's consumer price index (CPI) data will be released at 8:30 AM ET. Analysts anticipate a 0.2% month-on-month rise in headline CPI for August, consistent with the previous month.

In corporate news, Dollarama, Inc. (DOL.TO) reported a rise in net earnings for the second quarter, reaching $285.94 million or $1.02 per share, compared to $245.76 million or $0.86 per share in the same quarter last year.

Canadian stocks experienced a slight decline after a flat start on Tuesday morning but gradually recovered throughout the day, ending with a marginal loss. The benchmark SMI, which had dropped about 235 points to 22,791.55 by noon, closed the session down by just 24.06 points or 0.1%, settling at 23,003.09.

Asian markets fell on Wednesday as investors kept an eye on developments from the Trump-Harris presidential debate and awaited U.S. consumer inflation data, which could influence the Federal Reserve's upcoming policy decisions.

European stocks are currently showing modest gains ahead of the U.S. inflation data release. The market focus is also on the European Central Bank's (ECB) monetary policy announcement scheduled for Thursday, with expectations that the ECB will lower interest rates for the second time this year.

In commodities, West Texas Intermediate crude futures have risen by $1.65 or 2.5%, trading at $67.39 per barrel. Gold futures are up $8.00 or 0.32% to $2,551.10 per ounce, while silver futures have gained $0.531 or 1.86%, reaching $29.145 per ounce.