U.S. stock indexes were set to spread out higher on Wednesday, setting happens for a third straight day of gains as oil prices rose and investors snatched up beaten-down shares.
Wall Street closed with solid gains on Tuesday, with the benchmark S&P 500 index staging its best two-day gain since late August. Still, the S&P 500 has fallen 7.3 per cent this year due to slumping oil prices, fears of the China-led slowdown in global growth and uncertainty about central bank policies.Investors will watch oil as a barometer of broader market sentiment on Wednesday, in particular how a proposal from top exporters Russia and Saudi Arabia to freeze output is greeted by Iran, which is determined to raise production. The cost of Brent crude oil, a major international benchmark, was up 3.1 percent $33.19 per barrel.Bombardier Inc. has ended its lengthy order drought for the CSeries even while it plans to cut 7,000 jobs worldwide.Canadians acquired a record $17.45 billion of foreign securities in December, mainly split between equities and U.S. bonds, Statistics Canada said on Wednesday.Investors will also parse the minutes from the U.S. Federal Reserve’s January meeting – due at 2 p.m. ET – for understanding of the central bank’s take on the effects of latest turmoil in global markets around the U.S. economy. Fed Chair Janet Yellen has maintained that the central bank is still likely to raise rates in 2016. However, traders have all but written off the chance of further rate hikes this year, with Fed funds futures suggesting the next increase will be in February 2017.Shares of pipeline operator Kinder Morgan were up 10 per cent to $17.18 premarket after Berkshire Hathaway disclosed a stake in the company.