Global markets climbed, driven by investor optimism over a U.S.-China trade truce and surging investment in artificial intelligence, ahead of another earnings-packed week.

Wall Street futures were in positive territory after markets closed out October higher. Dow futures were up 0.2 per cent, S&P 500 futures rose 0.2 per cent, and Nasdaq futures were 0.3 per cent higher in early trading.

TSX futures followed sentiment higher, after Canada’s main stock index notched its sixth straight monthly advance on Friday, the longest such streak since 2021.

In Canada, investors are getting results from Franco-Nevada Corp. and Gibson Energy Inc.

On Wall Street, markets are watching earnings from Palantir Technologies Inc.

Investors cannot rely on the usual economic touchstone in the first week of the month - the monthly U.S. jobs report - and instead will have to look at private-sector employment and at the labour components of surveys of business activity due this week.

“If it weren’t for the [government] shutdown, we’d be looking forward to the U.S. jobs report for October on Friday. But given we aren’t getting the government data releases, there’s likely to be outsize attention on the ADP’s report of private payrolls on Wednesday, especially in light of [U.S. Federal Reserve chair Jerome] Powell’s hawkish press conference last week,” Deutsche Bank strategist Jim Reid said.

Overseas, the pan-European STOXX 600 was up 0.45 per cent in morning trading. Britain’s FTSE 100 edged up 0.13 per cent, Germany’s DAX rose 1.07 per cent and France’s CAC 40 advanced 0.25 per cent.

In Asia, Japan’s Nikkei closed 2.12 per cent higher, while Hong Kong’s Hang Seng gained 0.97 per cent.

Oil prices climbed after OPEC+ decided to hold off production hikes in the first quarter of next year, which eased rising fears of a supply glut, but weak factory data in Asia capped the gains.

Brent crude futures were up 0.11 per cent to US$65.07 a barrel. West Texas Intermediate (WTI) crude traded at US$61.19 a barrel, up 0.34 per cent.

RBC Capital’s head of commodities strategy Helima Croft noted that Russia remains a key supply wild card in the wake of the U.S. imposing sanctions on top producers Rosneft and Lukoil as well as the continuing strikes on the country’s energy infrastructure as part of the Ukraine war.

“There is ample ground for a cautious approach given the uncertainty over the [first quarter] supply picture and the anticipated demand softness,” she said.

In other commodities, spot gold was up 0.5 per cent at US$4,020.45 an ounce. U.S. gold futures for December delivery rose 0.9 per cent to US$4,031.50.

The Canadian dollar weakened against its U.S. counterpart.

The day range on the loonie was 71.21 US cents to 71.39 US cents in early trading. The Canadian dollar was down about 0.68 per cent against the greenback over the past month.

The U.S. dollar index, which weighs the greenback against a group of currencies, rose 0.08 per cent to 99.89, hitting a three-month high.

The euro slid 0.21 per cent to US$1.1515. The British pound fell 0.15 per cent to US$1.3126.

In bonds, the yield on the U.S. 10-year note was last up at 4.087 per cent.

*Note: Scheduled U.S. data reports may not be released if the government shutdown isn’t resolved.

The world’s big manufacturing economies struggled to fire up in October, business surveys showed today, as weak U.S. demand and President Donald Trump’s tariffs hit factory orders.

Euro zone factory activity stagnated as new orders flatlined and headcount fell, its purchasing managers’ index (PMI) showed.

Manufacturing activity in China grew at a slower pace last month, with export orders declining, private-sector PMIs for October indicated.

9:30 am ET: S&P global manufacturing PMI

10 am ET: U.S. ISM manufacturing PMI

1:30 pm ET: Bank of Canada Governor Tiff Macklem holds a fireside chat in Toronto.

U.S. auto sales for October

With Reuters and The Canadian Press