Global markets were mixed as investors tracked U.S.-Iran talks and assessed how AI disruptions could reshape business models, while many Asian markets were closed for the Lunar New Year holiday.

Wall Street futures were in the red after major North American markets were closed for a holiday yesterday.

TSX futures followed sentiment lower as investors awaited January inflation numbers later this morning.

In Canada, investors are getting results from Dream Industrial REIT, Gibson Energy Inc., RioCan REIT, IA Financial Corporation Inc., CT REIT, Iamgold Corp., SSR Mining Inc., TFI International Inc. and RB Global Inc.

On Wall Street, markets are watching earnings from Medtronic PLC and Palo Alto Networks Inc.

“Today, the U.S. returns from its long weekend to investors who are no longer hungry for risk,” Ipek Ozkardeskaya, senior analyst at Swissquote, wrote in a note.

“In the absence of fresh catalysts – and with existing headwinds unchanged – there is little reason for this bearish tech momentum to reverse. On the contrary, concerns around increasingly leveraged AI spending are intensifying.”

Overseas, the pan-European STOXX 600 was flat in morning trading. Britain’s FTSE 100 rose 0.32 per cent, Germany’s DAX gained 0.04 per cent and France’s CAC 40 edged down 0.04 per cent.

In Asia, Japan’s Nikkei closed 0.42 per cent lower, while Hong Kong’s Hang Seng was closed.

Brent oil prices were largely stable as investors ​braced for nuclear talks between Iran and the ‌U.S., and trilateral U.S.-Ukraine-Russia peace talks, both taking place in Geneva.

Brent crude futures were down 0.34 per cent at US$68.42 ⁠a barrel. West Texas Intermediate (WTI) crude was at US$63.57 a barrel, up more than 1 per cent, but that included all of yesterday’s price action as the contract did not have a settlement due to the Presidents Day holiday in the ‌U.S.

“Market sentiment is closely tied to the tone and progress of ⁠these negotiations ... sustaining a geopolitical risk premium in prices,” said Sugandha Sachdeva, founder of SS WealthStreet, a ​New Delhi-based research firm.

In other commodities, spot gold dropped 1.5 per cent to US$4,918.65 an ounce. U.S. gold futures for April delivery lost 2.2 per cent to trade at US$4,937 an ounce.

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

The day range on the loonie was 73.23 US cents to 73.37 US cents in early trading. The Canadian dollar was up about 1.47 per cent against the greenback over the past month.

The U.S. dollar index, which weighs the greenback against a group of currencies, rose 0.23 per cent to 97.14.

The euro declined 0.08 per cent to US$1.1843. The British pound fell 0.3 per cent to US$1.3588.

In bonds, the yield on the U.S. 10-year note was last down at 4.032 per cent.

Germany’s CPI

8:15 a.m. ET: U.S. ADP National Employment Report.

8:30 a.m. ET: Canada’s CPI for January. The consensus estimate is a month-over-month gain of 0.1 per cent and year-over-year increase of 2.4 per cent.

8:30 a.m. ET: Canadian wholesale trade for December.

8:30 a.m. ET: Canada’s international securities transactions for December.

10 a.m. ET: U.S. NAHB Housing Price Index for February.

With Reuters and The Canadian Press