(Reuters) – Futures tied to Canada’s main stock index slipped on Friday as investors adopted a cautious stance ahead of the crucial employment data from the United States.

September futures on the S&P/TSX index were down 0.6% at 6:12 a.m. ET (10:12 GMT).

The U.S. nonfarm payrolls data, due at 8:30 a.m. ET, could project the magnitude and pace of imminent interest rate cuts by the Federal Reserve, while any signs of further weakening in the labor market could risk a recession in the world’s largest economy.

Money markets are conflicted about the extent of a U.S. rate cut at the next policy meeting on September 18. The odds for a 25-basis-point cut are 59%, while bets for a hefty 50-bps cut stand at 41%.

Back home, investors will assess the domestic jobs data at 8:30 a.m. ET, where markets expect the August unemployment rate to rise to 6.5% from 6.4% in July. Separately, Ivey Purchasing Managers Index data is expected at 10:00 a.m. ET.

These data points come after the Bank of Canada’s 25-basis-point rate-cut decision on Wednesday.

Canada’s energy sector gathered attention as oil prices steadied ahead of the U.S. data.

Gold prices inched near a one-week high and are poised to benefit the materials sector. Meanwhile, copper prices fell on demand worries fueled by weak Chinese economic data.

The composite index ended lower on Thursday due to declines in energy stocks.

In corporate news, Japanese retail giant Seven & i Holdings rejected Canada’s convenience store operator Alimentation Couche-Tard’s $38.5 billion cash bid.

COMMODITIES

Gold: $2,518.8; +0.1%

US crude: $69.57; +0.6%

Brent crude: $73.15; +0.6%

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($1 = 1.3493 Canadian dollars)

(Reporting by Nikhil Sharma; Editing by Vijay Kishore)