May 13, 2025 (Baystreet.ca via COMTEX) --
Futures for Canada's main stock index dipped on Tuesday, mirroring Wall Street peers, after a sharp rally in the previous session fueled by a U.S.-China trade truce, while investors looked forward to key U.S. inflation data.
The TSX Composite Index retained gains of 174.44 points to close Monday at 25,532.18, a near three-month high on Monday, as the United States and China reached a deal to reduce tariffs.
June futures retreated 0.4% Tuesday.
The Canadian dollar settled 0.09 cents to 71.47 cents U.S.
ON BAYSTREET
The TSX Venture Exchange tunneled 8.42 points, or 1.2%, Monday to 674.98.
ON WALLSTREET
Stock futures fell in early Tuesday following a big rally, as investors look ahead to a key inflation report.
Futures for the Dow Jones Industrials index lost 207 points, or 0.5% to 42,286, weighed by a 10% decline in UnitedHealth after the company suspended its 2025 outlook.
Futures for the S&P 500 index dipped 13.25 points, or 0.2%, to 5,851.75
Futures for the NASDAQ sagged 29.75 points, or 0.1%, to 20,926.25.
The consumer price index, a broad measure of goods and services costs across the U.S. economy, is expected to remain at a 2.4% rate in April on a year-over-year basis, according to the Dow Jones consensus. Excluding food and energy, so-called core inflation is expected to run at a 2.8% annual rate, also unchanged from the prior month.
Wall Street enjoyed a huge rally Monday after the U.S. and China agreed to slash steep tariffs for 90 days, raising hopes a trade war won't tip the economy into a recession.
The blue-chip Dow surged more than 1,100 points, while the S&P 500 popped over 3%, cutting its year-to-date losses to just 0.6%. The NASDAQ Composite added 4.4%. All three averages posted their best day since April 9.
After negotiations in Switzerland over the weekend, the U.S. and China reached a deal to cut "reciprocal" tariffs between both countries down to 10%. The U.S.' 20% duties on Chinese imports relating to fentanyl will remain in place, meaning total tariffs on China stand at 30%.
Treasury Secretary Scott Bessent told news outlets on Monday that he expects to meet once again with representatives from Beijing in the "next few weeks" to start ironing out a bigger agreement.
In Japan, the Nikkei 225 index gained 1.4% Monday, while in Hong Kong, the Hang Seng slid 1.9%.
Oil prices surged 47 cents to $62.42 U.S. a barrel.
Gold prices brightened $34.10 to $3,262.10 U.S. an ounce.
COMTEX_465470717/2559/2025-05-13T07:58:08
