(RTTNews) - Canadian shares are likely to open on a positive note on Wednesday, tracking higher crude oil prices. The focus will be on the Federal Reserve's interest rate move, and the accompanying policy statement.
A 50-bps rate hike and the launch of balance sheet reduction are on the table, with market participants certainly fearing a more hawkish tone to fight inflation, which is at a four-decade high.
In Canadian earnings news, Barrick Gold Corp (ABX.TO) reported first-quarter earnings of $438 million, or $0.25 per share, compare with $538 million, or $0.30 per share, in last year's first quarter. The company's revenue for the quarter fell 3.5% to $2.853 billion from $2.956 B last year.
Loblaw Companies Limited (L.TO) reported adjusted net earnings of $459 million for the first quarter of 2022, an increase of $67 million, or 17.1%, over the corresponding quarter last year.
Fortis Inc. (FTS.TO) reported first quarter net earnings of $350 million, or $0.74 per common share, compared to $355 million, or $0.76 per common share in the first quarter of 2021.
On the economic front, data on Canada's balance of trade for the month of March is due at 8:30 AM ET.
The Canadian market ended on a strong note on Tuesday, led by gains in energy, materials, technology and financial stocks. The benchmark S&P/TSX Composite Index ended with a gain of 213.06 points or 1.03% at 20,905.28, after scaling a low of 20,724.30 and a high of 21,030.74 intraday.
Asian stocks ended broadly lower on Wednesday ahead of the Federal Reserve's monetary policy announcement.
European markets are weak amid caution ahead of interest rate decisions from the Federal Reserve and the Bank of England. The European Union's decision to impose a new sanctions package against Russia, including an embargo on Russian oil, is hurting as well.
In commodities trading, West Texas Intermediate Crude oil futures are up $4.57 or 4.46% at $106.98 a barrel.
Gold futures are down $1.10 or 0.06% at $1,869.50 an ounce, while Silver futures are down $0.025 or 0.11% at $22.640 an ounce.
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