Luke KawaThe Globe and Mail
The Before the Bell report is updated throughout the premarket to reflect the latest news developments and market moves. Check back later for updates.
U.S. equity futures are softening ahead of the last session of a shortened week on the heels of a poor start to the second quarter. S&P/TSX 60 futures are also trading modestly to the downside.
"While equities mostly enjoyed a strong Q1, it's clear that without the support of policymakers, investors would not be feeling quite as optimistic," writes IG market strategist Stan Shamu. "In fact, if we consider some of the recent price action, policy expectations have been the pillar holding everything together."
It's a fairly loaded calendar south of the border, with weekly jobless claims, brief remarks from Fed Chair Janet Yellen, February's trade balance and factory orders, a speech from Fed Governor Lael Brainard, and the Baker Hughes rig count, but investors will already be looking ahead to "Jobs Day" on Friday.
With the markets closed Friday while the U.S. non-farms payroll report is released, a cautious, risk-off tone, with traders paring back on recent winners and unwilling to establish fresh positions, could prevail.
Bond yields are continuing to fall this morning while the U.S. dollar softens.
After breaking above $50 per barrel (U.S.) on Wednesday, West Texas Intermediate futures are now below that level ahead of the open. Iran and world powers were unable to come to terms on a nuclear deal that would result in the lifting of sanctions and increase oil exports from the Middle Eastern country.
Iron ore has replaced oil as the most battered name in the commodity complex, falling below $50 per ton for the first time since 2005.
European equities were mixed, while Asian bourses posted solid gains.
Here's a look at the latest market numbers and other highlights ahead of the trading day.
Futures:
S&P 500 -0.27 per cent; Dow -0.2 per cent; Nasdaq -0.31 per cent
Equities:
Hong Kong's Hang Seng +0.73 per cent
Shanghai composite index +0.41 per cent
Japan's Nikkei +1.46 per cent
London's FTSE 100 +0.04 per cent
Germany's DAX -0.12 per cent
France's CAC 40 +0.02 per cent
Stoxx 600 -0.21 per cent
Commodities:
WTI crude oil (Nymex May) -2.26 per cent at $48.96 (U.S.) a barrel
Natural gas (Nymex May) unchanged at $2.605
Gold (Comex Apr) -0.26 per cent at $1,205.10 (U.S.) an ounce
Copper (Comex May) -0.95 per cent at $2.7225 (U.S.) a pound
Currencies:
Canadian dollar at 79.11 (U.S.), down 0.0012
U.S. dollar index down 0.38 at 97.805
Bonds:
U.S. 10-year Treasury yield 1.8347 per cent, down 0.0226
ECONOMIC INDICATORS:
Canada merchandise trade deficit was smaller than anticipated at $984-million in February; January's trade balance, originally reported as a deficit of $2.5-billion, was revised to a deficit of $1.5-billion.
U.S. goods and services trade deficit of $35.4-billion in February was much smaller than the $41.2-billion deficit economists had forecast.
U.S. initial jobless claims for week of March 28 came in at 268,000, better than the 286,000 new claims economists had forecast.
(8:45 a.m. ET) Fed chair Yellen speaks in Washington at Fed Reserve System Community Development Research Conference.
(10 a.m. ET) U.S. factory orders. Consensus is a decline of 0.3 per cent in February.
STOCKS TO WATCH:
The U.S. Commodity Futures Trading Commission has brought charges against Kraft Foods Group Inc. and Mondelez International Inc. for manipulating and attempting to manipulate the prices of wheat and wheat futures.
Canaccord Genuity Group Inc. chief executive officer Paul Reynolds has passed away after experiencing a medical emergency while competing in a triathlon in Hawaii. He will be succeeded by Chairman David Kassie.
Suncor Energy Inc. late Wednesday said that it expected to largely implement operating budget cuts of $600-million to $800-million in 2015, ahead of the previously projected two-year period.
Kinross Gold Corp. said late Wednesday that mining and crushing operations at its Maricunga mine in northern Chile remained suspended following severe floods in the region last week.
Earnings include: CarMax Inc., Franklin Covey Co., Greenbrier Cos., Micron Tech Inc., Perry Ellis, SeaChange International.
ANALYST ACTIONS:
JPMorgan resumed coverage on Valeant Pharmaceuticals International Inc. with an "overweight" rating and price target of $240 (U.S.).
Dick's Sporting Goods Inc. was raised to "positive" from "neutral" at Susquehanna.