S&P/TSX futures edge higher as earnings roll in and July US inflation hits 3.4%

S&P/TSX Composite Index futures edged higher as investors weighed a cooler July U.S. inflation reading against a fresh wave of corporate earnings and stronger AI-related technology sentiment. U.S. consumer prices rose 0.1% in July for an annual rate of 3.4%, while core CPI increased 0.2% on the month and 2.5% from a year earlier, both slightly below June levels. The data helped lift market expectations that the Federal Reserve will pause in September, with prediction markets pricing those odds near 68.2%, while a quarter-point cut was seen at 17% and a hike at 9.6%. Nasdaq-100 futures rose about 0.9%, alongside gains in S&P 500 and Dow futures, as investors treated the inflation print as supportive for growth stocks. Tech shares added momentum. CoreWeave surged 14% after hours after reporting revenue growth of 112% to $2.58 billion, a narrower-than-expected adjusted loss, a $104 billion backlog, 1.5 gigawatts of active power and third-quarter guidance implying roughly 158% growth at the midpoint. Foxconn, a supplier to Nvidia and Apple, also beat expectations as revenue rose 54.2% to $29.4 billion and net income reached $1.9 billion, topping a Bloomberg-cited expectation for $1.8 billion, underscoring continued demand for AI servers and advanced electronics. Earlier Canadian earnings remained mixed, with Constellation Software beating second-quarter EPS estimates and Franco-Nevada reporting second-quarter profit of $354 million and adjusted earnings of $1.81 per share, below expectations. Markets were also awaiting results from Metro, Hydro One and other companies, while the Bank of Canada was widely expected to leave rates unchanged in September.

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S&P/TSX futures edge higher as earnings roll in and July US inflation hits 3.4% - CoinPost Terminal