U.S. stock indexes were set to spread out higher on Wednesday, setting happens for a third straight day of gains as oil prices rose and investors snatched up beaten-down shares.
Wall Street closed with solid gains , with the benchmark S&P 500 index staging its best two-day gain since late August. Still, the S&P 500 has fallen 7.3 per cent this year because of slumping oil prices, fears of a China-led slowdown in global growth and uncertainty about central bank policies.Investors will watch oil as a barometer of broader market sentiment on Wednesday, in particular the way a proposal from top exporters Russia and Saudi Arabia to freeze output is greeted by Iran, which is going to raise production. The price of Brent oil, a major international benchmark, was up 3.1 per cent $33.19 per barrel.Bombardier Inc. has ended its lengthy order drought for the CSeries even while it intends to cut 7,000 jobs worldwide.Canadians acquired a record $17.45 billion of foreign securities in December, mainly split between equities and U.S. bonds, Statistics Canada said on Wednesday.Investors will even parse the minutes from the U.S. Federal Reserve’s January meeting – due at 2 p.m. ET – for insight into the central bank’s take on the results of latest turmoil in global markets on the U.S. economy. Fed Chair Janet Yellen has maintained that the central bank continues to be prone to raise rates in 2016. However, traders have but written off the risk of further rate hikes this year, with Fed funds futures suggesting the following increase will be in February 2017.Shares of pipeline operator Kinder Morgan were up 10 per cent to $17.18 premarket after Berkshire Hathaway disclosed a stake within the company.
? Thomson Reuters 2016