December futures on the S&P/TSX index were up 0.9% at 6:45 a.m. ET. [.N]
The Toronto Stock Exchange's S&P/TSX composite index gained on Monday, with a survey showing longer-term consumer expectations on inflation have eased. [.TO]
The housing starts data scheduled to come out at 8:15 ET (1215 GMT) is expected to show housing starts fell to 263,000 units last month, from 267,443 units in August.
As central banks hike interest rates aggressively to rein in inflation and geopolitical tensions persist, markets are growing increasingly wary about the prospects of a recession.
The Bank of Canada (BoC) is scheduled to hold a policy meeting next week where traders are pricing a 78.8% chance of a 50-bps hike in its overnight lending rates. BoC has raised interest rates by 300 bps this year, reaching a 14-year high.
Crude prices fell in volatile trade on fears of an economic slowdown and lower fuel demand from China, while gold prices edged higher. [O/R] [GOL/]
The energy sector accounts for nearly 20% of the TSX while basic materials, which includes miners, holds nearly 11%.
On the research front, RBC cut forest product companies Western Forest Products and Resolute Forest Products to "sector perform" from "outperform".
(Reporting by Shashwat Chauhan in Bengaluru; Editing by Shailesh Kuber)
