Futures market suggests positive open for U.S. markets, oil trades higher

Published March 20, 2020 at 12:31 pm

The futures market suggested U.S. stock markets will open higher today, a day after North American stock markets posted gains.

Canada’s main stock index gained more than 400 points on Thursday as the energy sector rallied on the back of a surge in crude oil prices.

The increase came on the hope that Saudi Arabia and Russia will settle a price war that crushed already weak oil prices due to the waning demand from the economic slump as a result of COVID-19.

The market had been volatile due to uncertainty caused by the novel coronavirus, but stocks started tanking after Saudi Arabia triggered a plunge in crude oil by ramping up production.

The May crude oil contract, which rose by more than 24 per cent on Thursday, was up US$1.51 at US$27.42 per barrel in trading today.

The Canadian dollar traded for 70.17 cents US compared with an average of 68.99 cents US on Thursday.