September futures on the S&P/TSX index were up 0.6% at 7:01 a.m. ET (1101 GMT). The underlying benchmark index closed 0.34% higher on Wednesday.

Copper prices rose on a softer dollar ahead of U.S. inflation data and hopes of more stimulus in China after data showed the country's economy entered into deflation in July. [MET/L]

Meanwhile, U.S. futures rose ahead of consumer price index report due at 8:30 a.m ET. Traders put the chance of no rate hike at the Fed's policy meeting in September at 86.5%, according to CME FedWatch Tool. [.N]

July CPI is likely to increase 0.2%, after a similar rise in the previous month.

Gold also firmed, while crude prices slipped as U.S. inflation test loomed. [GOL/] [O/R]

Algonquin Power & Utilities said it was considering a sale of its renewable energy business, while among company earnings, Canadian Tire Corp reported a drop in quarterly revenue.

Canada's largest insurer Manulife Financial reported better-than-expected quarterly profit on Wednesday, while pot-producer Canopy Growth again raised going concern doubts.

Two of Canada's biggest pension funds are exploring options including a sale of Cubico Sustainable Investments that could value the renewable energy firm at about $6 billion or more, including debt, according to people familiar with the matter.

COMMODITIES AT 7:01 a.m. ET

Gold futures: $1,926.1; +0.2% [GOL/]

US crude: $84.14; -0.3% [O/R]

Brent crude: $87.41; -0.2% [O/R]

($1= C$1.3399)

(Reporting by Siddarth S in Bengaluru; Editing by Shweta Agarwal)