(Reuters) – Futures tracking Canada’s main stock index fell on Friday, mirroring their Wall Street peers, as investors awaited key U.S. inflation and domestic retail sales data due later in the day.

Futures on the S&P/TSX index were down 0.8% at 5:58 a.m. ET (1058 GMT).

The Core Personal Consumption Expenditures data – a closely watched U.S. inflation gauge — is due at 8.30 a.m. ET.

Forecasts are centered on a monthly rise of 0.2% for November and any upward surprises could lead markets to further scale back bets for U.S. policy easing, after the Federal Reserve signaled fewer-than-expected interest rate cuts next year.

U.S. stock futures fell before the data, as investors assessed the possibility of a government shutdown. [.N]

Back home, Canada’s retail sales data for November is also due at 8:30 a.m. ET, which would offer more clues on the economy’s strength.

The Bank of Canada lowered interest rates last week by an outsized 50 basis points for the second consecutive time and is expected to ease further in 2025 amid a weakening outlook.

Markets placed 50% odds on a 25-bps cut next month.

The Toronto Stock Exchange’s S&P/TSX composite index fell to a six-week low on Thursday, as investors weighed the potential impact on returns of a more hawkish Fed and a weaker Canadian dollar.

Gold prices rose, but were set for a weekly decline. Copper also rebounded from a five-week low hit in the previous session, as most base metals gained on positive economic indicators from the U.S. [GOL/][MET/L]

Oil prices, however, fell on worries about demand growth in 2025, especially in top crude importer China, putting global oil benchmarks on track to end the week down nearly 3%. [O/R]

(Reporting by Ragini Mathur; Editing by Mohammed Safi Shamsi)