March futures on the S&P/TSX index were up 0.1% at 7:10 a.m. ET (1210 GMT).

Monthly figures on U.S. services sector and factory orders data are due after the opening bell which could offer clarity on the health of the country's economy.

Labor market reports in the U.S. are also scheduled through the week, which could guide expectations on the timeline of interest rate cuts by the Federal Reserve, alongside Fed Chair Jerome Powell's congressional appearances.

Back home, the BoC is set to announce its next monetary policy decision on Wednesday, where markets are widely expecting the central bank to hold rates.

But money markets participants are pricing in about a 51% chance of a 25-basis-point cut in June. [#BOCWATCH]

Materials-linked shares were on track to gain for the fourth session as gold headed towards record highs, driven by mounting hopes of the Fed's first interest rate cut in June. [GOL/]

Nonferrous metals, however, fell on a firmer dollar and disappointment from the lack of fresh supportive measures from China. [MET/L]

Oil also slipped as concerns over China's plan for growth and uncertainty over the pace of U.S. interest rate cuts offset the prospect of a tighter market due to continued OPEC+ supply restraint. [O/R]

The Toronto Stock Exchange's S&P/TSX composite index ended lower on Monday, weighed by declines in energy shares. [.TO]

The Canada Energy Regulator said on Monday it had approved a toll settlement between pipeline operator Enbridge and shippers for moving oil along the Canadian mainline.

COMMODITIES AT 7:10 a.m. ET

Gold futures: $2,132.8; +0.3% [GOL/]

US crude: $78.47; -0.3% [O/R]

Brent crude: $82.66; -0.2% [O/R]

(Reporting by Purvi Agarwal in Bengaluru; Editing by Shilpi Majumdar)