December futures on the S&P/TSX index were down 0.4% at 7:13 a.m. ET (11:13 GMT).
The materials sector is expected to fall as copper prices tumbled to 11-month lows on China's property crisis, receding hopes of stronger stimulus in the top consumer of industrial metals. [MET/L]
Heavyweight energy stocks are set to take a hit from lower oil prices as investors assessed diplomatic efforts, which attempt to contain the geopolitical tensions in the Middle East. [O/R]
All eyes will be on the Bank of Canada's interest rate decision, due Wednesday. The central bank is expected to hold rates at a 22-year high of 5.00%, according to a majority of economists polled by Reuters.
It follows last week's data that showed Canada's retail sales fell by 0.1% in August from July and look set to stay flat in September, cementing hopes of a pause in interest rates.
Weighing on futures, the U.S. 10-year Treasury yield breached 5% and to its highest since 2007, the level it attempted to scale last week.
Gold prices also eased as investors kept a close watch on growing unrest in the Middle East and looked forward to key U.S. economic data this week. [GOL/]
Across the border, a set of crucial economic data is expected to be released later in the week that will include third-quarter U.S. GDP print, S&P Global PMI flash data for October, weekly jobless claims and personal consumption expenditure price index.
The Toronto Stock Exchange's S&P/TSX composite index ended down 233.17 points, or 1.2%, at 19,115.64, on Friday, its lowest closing level in two weeks. [.TO]
U.S. stock index futures also moved lower on Monday. [.N]
COMMODITIES AT 7:13 a.m. ET
Gold futures: $1,979.1; -0.3% [GOL/]
US crude: $87.33; -0.9% [O/R]
Brent crude: $91.55; -0.7% [O/R]
($1= C$1.3726)
(Reporting by Khushi Singh in Bengaluru; Editing by Shweta Agarwal)
