Global markets rose after dismal U.S. labour data on Friday appeared to seal the case for an interest rate cut this month.

Wall Street futures were in positive territory after major U.S. markets closed lower on Friday as investors assessed the soft jobs report.

TSX futures pointed higher, as bets on a Bank of Canada interest rate cut this month buoyed Canada’s main stock index to another record on Friday.

In Canada, investors are getting results from Major Drilling Group International Inc. and North West Co. Inc.

“The Fed has more than enough reasons and will cut by 25 [basis points] ... with another two within six-months,” said George Boubouras, head of research at K2 Asset Management.

Overseas, the pan-European STOXX 600 was up 0.32 per cent in morning trading. Britain’s FTSE 100 edged up 0.16 per cent, Germany’s DAX gained 0.73 per cent and France’s CAC 40 climbed 0.39 per cent.

In Asia, Japan’s Nikkei closed 1.45 per cent higher, while Hong Kong’s Hang Seng advanced 0.85 per cent.

 Oil prices climbed, regaining some of last week’s losses, helped by the prospect of more sanctions on Russian crude after an overnight strike on Ukraine.

OPEC+ flagged plans to further increase production from October by 137,000 barrels per day, much lower than the monthly increases of about 555,000 bpd for September and August and 411,000 bpd in July and June.

Brent crude rose 1.8 per cent to US$66.66 a barrel, while West Texas Intermediate (WTI) crude gained 1.8 per cent to US$62.96 a barrel.

“The oil market was supported by relief over OPEC+’s modest output hike and a technical bounce following last week’s decline,” said Toshitaka Tazawa, an analyst at Fujitomi Securities, adding the OPEC+ output hike had been priced in since last week.

“Expectations of tighter supply from potential new U.S. sanctions on Russia are also lending support,” he said.

In other commodities, spot gold was up 0.7 per cent at US$3,612.20 an ounce, after rising to a record high of US$3,616.64 earlier in the session.

U.S. gold futures for December delivery was steady at US$3,653.10.

The Canadian dollar strengthened against its U.S. counterpart.

The day range on the loonie was 72.22 US cents to 72.41 US cents in early trading. The Canadian dollar was down about 0.26 per cent against the greenback over the past month.

The U.S. dollar index, which weighs the greenback against a group of currencies, declined 0.3 per cent to 97.74.

The euro rose 0.02 per cent to US$1.1722. The British pound was little changed at US$1.3509.

In bonds, the yield on the U.S. 10-year note was last up at 4.090 per cent.

China trade surplus, aggregate yuan financing and new yuan loans

Japan GDP and bank lending

Germany industrial production and trade surplus

(8:30 a.m. ET) U.S. consumer credit for July.

With Reuters and The Canadian Press