September futures on the S&P/TSX index were down 0.4% at 7:35 a.m. ET (1135 GMT).
Shares of energy and material stocks are expected to take a hit after most metals and oil prices fell tracking a rising dollar and higher-for-longer interest rate expectations. [GOL/] [MET/L] [O/R]
Copper prices were also hurt by growing concerns over China's property sector along with a week-long holiday in China starting on Sept. 29.
Minneapolis Fed President Neel Kashkari said on Monday that given the surprising resilience of the U.S. economy, the Fed probably needs to raise borrowing rates further and keep them high for some time to bring inflation to 2%.
The Toronto Stock Exchange's S&P/TSX composite index ended Monday up 20.64 points, or 0.1%, higher at 19,800.61, its first gain after five straight days of declines as energy shares rallied. [.TO]
U.S. stock index futures declined on Tuesday, with the likelihood of a partial shutdown of the U.S. government by Sunday added to investor anxiety of rigid rates. [.N]
In corporate news, Air Canada on Monday signed an agreement with U.S. planemaker Boeing to buy 18 widebody 787 Dreamliner jets.
COMMODITIES AT 7:35 a.m. ET
Gold futures: $1,913; -+-0.3% [GOL/]
US crude: $89.06; -+-0.7% [O/R]
Brent crude: $92.63; -+-0.7% [O/R]
FOR CANADIAN MARKETS NEWS, CLICK ON CODES:
TSX market report [.TO]
Canadian dollar and bonds report [CAD/] [CA/]
Reuters global stocks poll for Canada
Canadian markets directory
($1= C$1.3492)
(Reporting by Khushi Singh in Bengaluru; Editing by Tasim Zahid)
