Futures for equity markets in Canada fell on Wednesday after two straight days of gains for the index, as investors turned cautious ahead of U.S. President Donald Trump's planned unveiling of new trade tariffs later in the day.
The TSX Composite Index hiked 115.78 points to close Tuesday at 25,033.28.
June futures declined 0.5% Wednesday.
The Canadian dollar sloped lower 0.16 cents to 69.80 cents U.S.
Trump is set to announce sweeping reciprocal tariffs on global trading partners at 4 p.m. ET in what the White House has dubbed "Liberation Day," threatening to disrupt decades of established trade practices.
The tariffs, which will take effect immediately upon announcement, are expected to trigger price increases and prompt retaliatory measures from affected countries.
Prime Minister Mark Carney’s office said he and Mexican President Claudia Sheinbaum spoke on Tuesday about Canada's plan to "fight unjustified trade actions" by the U.S.
U.S. companies say a "Buy Canadian" movement is already making it harder for their products to reach that country's shelves.
In corporate news, investment firm Brookfield has resumed takeover talks with Spanish pharmaceuticals company Grifols, news website El Confidencial reported on Wednesday.
ON BAYSTREET
The TSX Venture Exchange erased 2.11 points Tuesday to 626.19.
ON WALLSTREET
Stock futures south of the border slipped Wednesday as Wall Street braced for the expected rollout of President Donald Trump’s tariffs.
Futures for the Dow Jones Industrials tumbled 302 points, or 0.7%, to 41,939.
Futures for the S&P 500 index lost 51.75 points, or 0.9%, to 5,622.75.
Futures for the tech-heavy NASDAQ floundered 221 points, or 1.1%, to 19,387.50.
The moves come ahead of the implementation of a raft of Trump’s “reciprocal tariffs” that will “start with all countries.” The White House revealed Tuesday that the levies “will be effective immediately.” The administration as of Tuesday had yet to decide on the tariff levels and was still considering several options, according to a report from Bloomberg News.
During Tuesday’s session, the S&P 500 finished about 0.4% higher, seesawing between gains and losses throughout the chaotic trading day.
The NASDAQ also ended the day roughly 0.9% higher, while the Dow Jones closed marginally lower.
In addition to the tariffs, traders are looking ahead to the ADP employment report for March, which is scheduled for release on Wednesday morning. Economists polled by Dow Jones are expecting that private companies added 120,000 jobs last month, up from the 77,000 jobs added in February.
In Japan, the Nikkei 225 index gained 0.3% Wednesday, while in Hong Kong, the Hang Seng was down just more than four points.
Oil prices handed back 94 cents to $70.76 U.S. a barrel.
Gold prices added $9.40 to $3,155.40 U.S. an ounce.
