(Bloomberg) -- So far so good -- after two straight sessions of gains, there are still plenty of reasons for bulls to keep making a bid on the Canadian stock market.
The price of oil and gold surging overnight and the smallest of the Big Six banks reporting strong third quarter-fiscal results could make for a solidly green hump day, stretching out the winning streak on the S&P/TSX Composite Index.
Still, futures are pointing to a lower open. Could that reverse as the market settles? Possibly. But it could also get dragged down further given the increasingly unpredictable Sino-American trade war. The latest tweet from Donald Trump hasn’t swayed sentiment much this morning:
Oil rose for a second day after an industry report showed a bigger-than-expected drop in American crude inventories and Citigroup Inc. raised the possibility that the price of gold may extend it’s impressive surge. And, we’re still waiting on EIA’s weekly oil inventory report, which could make or break oil’s climb.
Add that to National Bank of Canada’s third-quarter fiscal results that beat estimates -- which could give the financials sector a boost Wednesday.
But, with more than 200 points left to regain, the benchmark is still set for a monthly loss. Barring any new developments in the increasingly unpredictable Sino-American trade war, that could quickly turn around.
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