BEFORE THE BELL: G20 summit US Reserve rate hikes on trader radar; Tech sector weighted as Apple drops Samsung as screen provider
The Federal Reserve’s decision on an interest rate hike will likely cause some more market volatility later this week. Analysts expect the US policymaker to raise the rate by 0.25 per cent on Wednesday, which experts say could send global markets into another tailspin after inflation fears led to a major market selloff in February.
Ahead of that announcement, financial officials from the world’s wealthiest countries including Canada will be meeting at the Group of 20 event in South America. Traders will be watching for any mention on tariffs or possible trade wars between China and the US.
On Wall Street, the Dow is expected to be weighted by the Tech Sector this morning. This comes as Facebook shares have dropped three per cent following more questions about data breaches and voting influence in the 2016 US election. Apple is adding some weight as well with shares down 1 per cent as the company is dropping Samsung as a screen provider to take on a more expensive venture of building its screens in house.
The Loonie is gaining to 76.39 cents US ahead of Stats Can reports on inflation and retail sales coming later this week.
Oil is down to 62.13 a barrel.
Gold has dropped to 1,310 an ounce.