Global markets edged mostly higher as investors eyed key U.S. earnings, inflation data from both sides of the border and continuing trade talks.

Wall Street futures were mixed ahead of consumer price index numbers that likely picked up in June, potentially marking the start of a tariff-induced increase that has left the Federal Reserve cautious about resuming its interest rate cuts.

TSX futures pointed higher after Canada’s main stock market reach a new high yesterday. Economists are expecting an uptick in Canadian CPI for June in what will be the Bank of Canada’s last look at price data ahead of its next policy announcement on July 30.

In Canada, investors are getting results from Cogeco Inc. and Cogeco Communications Inc.

On Wall Street, markets are watching earnings from Citigroup Inc., BlackRock Inc., JPMorgan Chase & Co., Wells Fargo & Co. and Bank of NY Mellon.

Despite some market optimism, “risks are piling up: the risk of global supply chain disruptions, a tariff-led jump in US inflation, pressure on company earnings, an unsustainable surge in G7 debt levels, political risks, geopolitical risks,” Ipek Ozkardeskaya, senior analyst at Swissquote Bank, wrote in a note.

“Something has to give — but when and where remains the big unknown. It’s worth watching the economic data, the earnings, and global yields closely."

Overseas, the pan-European STOXX 600 was up 0.21 per cent in morning trading. Britain’s FTSE 100 eased 0.03 per cent, Germany’s DAX rose 0.24 per cent and France’s CAC 40 gained 0.04 per cent.

In Asia, Japan’s Nikkei closed 0.55 per cent higher, while Hong Kong’s Hang Seng gained 1.6 per cent.

Oil prices held steady after U.S. President Donald Trump’s lengthy 50-day deadline for Russia to end the Ukraine war and avoid sanctions eased immediate supply concerns.

Brent crude futures added 0.12 per cent to trade at US$69.29, while West Texas Intermediate (WTI) crude futures rose 0.04 per cent to US$67.01.

“The focus has been on Donald Trump, there was some fear he might target Russia with sanctions immediately and now he has given another 50 days,” said Giovanni Staunovo, commodity analyst at UBS.

“Those fears about an imminent additional tightness in the market have dissipated. That’s the main story.”

In other commodities, spot gold gained 0.6 per cent to US$3,361.99 an ounce. U.S. gold futures rose 0.4 per cent to US$3,371.30.

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

The day range on the loonie was 72.94 US cents to 73.08 US cents in early trading. The Canadian dollar was down about 0.07 per cent against the greenback over the past month. 

The U.S. dollar index, which weighs the greenback against a group of currencies, slid 0.1 per cent to 97.97. 

The euro rose 0.18 per cent to US$1.1688. The British pound advanced 0.25 per cent to US$1.3460.

In bonds, the yield on the U.S. 10-year note was last down at 4.418 per cent.

China second quarter GDP, plus June industrial production and retail sales

Euro area industrial production for May and July business conditions index for Germany

8:15 am ET: Canada housing starts for June. BMO expects an annualized rate of 270,000, down 3.4 per cent.

8:30 am ET: Canada consumer price index for June. Consensus is for a rise of 2 per cent from a year ago, higher than May’s rate of 1.7 per cent.

8:30 am ET: Canada manufacturing sales for May and new orders. They are expected to be down 1.3 per cent and 1.5 per cent, respectively.

8:30 am ET: Canada new motor vehicle sales for May.

8:30 am ET: U.S. consumer prices for June. Consensus is for a rise of 2.6 per cent year over year, up from May’s rate of 2.4 per cent. Excluding food and energy, consensus is for a 2.9 per cent bump.

9 am ET: Canada existing home sales for June. BMO expects a rise of 2 per cent from a year earlier, with average sales prices down 1 per cent. The MLS home price index, to be released at the same time, is expected to be down 3.5 per cent from a year earlier.

With Reuters and The Canadian Press