Bay Street Likely To Open On Negative Note

(RTTNews) - Lower Canadian and U.S. futures and weak precious metals prices point to a negative start for Canadian stocks on Tuesday. Worries about inflation amid rising tensions in the Middle East may also weigh on the market.

The mood is likely to remain cautious with investors awaiting crucial U.S. non-farm payroll data due later in the week, for clues about the Federal Reserve's interest rate move.

S&P Global's reading on Canadian manufacturing activity is due at 9:30 AM ET.

The Descartes Systems Group Inc. has announced the acquisition of Extensiv, a provider of warehouse management and fulfillment solutions for third-party logistics providers, for approximately $120 million. The transaction is expected to expand Descartes' warehouse and inventory management capabilities while deepening its reach into the third-party logistics providers and e-commerce fulfillment market.

The Canadian market ended weak on Monday following fresh escalation between the U.S. and Iran. Besides analyzing the possibility of a rate hike in the U.S., traders weighed the impact of the ongoing Canada-U.S. trade war on the economy.

The benchmark S&P/TSX Composite Index, which remained in negative territory for much of the day's session, ended with a loss of 283.44 points or 0.75% at 36,270.48.

Asian stocks retreated on Tuesday as rising U.S.-Iran tensions pushed Brent prices above $91 a barrel and added to worries about inflation and interest rates.

Brent crude futures rose above $92.50 a barrel on concerns about further disruptions to energy supplies through the Strait of Hormuz.

Major European markets are down in negative territory amid concerns about inflation and interest rates as oil prices climbed up on escalating tensions in the Middle East. An acceleration in Eurozone inflation and weak German retail sales hurt as well.

In commodities trading, West Texas Intermediate Crude oil futures are up $2.10 or 2.4% at $87.86 a barrel.

Gold futures are down $61.80 or 1.39% at $4,419.70 an ounce, while Silver futures are down $1.485 or 2.22% at $65.505 an ounce.