(fxcue news) - Canadian shares are likely to see a mixed start Wednesday morning, tracking the trend in commodity markets and European stocks. The mood is likely to remain cautious with investors looking ahead to U.S. PCE data for more clarity about the outlook for Fed interest rates. Federal Reserve governor Michelle Bowman has warned of upside risks to the inflation outlook and reiterated the need to keep borrowing costs elevated "for some time". Her counterpart Lisa Cook said that the timing of any rate adjustment will depend on how economic data evolve and what they imply for the economic outlook and balance of risks. In Canadian earnings news, AGF Management Limited (AGF.B.TO) reported adjusted net income of $23.6 million for the second quarter ended May 31, 2024, compared to $31.2 million in the corresponding quarter of the previous year. On the economic front, preliminary data on Canadian wholesale sales for the month of May is due at 8:30 AM ET. The Canadian market ended weak on Tuesday after data showed a bigger than expected increase in the nation's consumer price inflation in the month of May. Consumer discretionary, communications, healthcare and materials shares were among the notable losers. Technology and consumer staples shares found good support. The benchmark S&P/TSX Composite Index, which dropped to a low of 21,704.74 intraday, ended the session with a loss of 60.11 points or 0.28% at 21,788.48. Asian stocks ended mostly higher on Wednesday as a rebound in tech stocks helped offset hawkish comments from Federal Reserve officials. After a firm start, European stocks pared gains and are currently in negative territory, with the mood turning cautious ahead of key U.S. data, and uncertainty about Fed interest rates following hawkish comments from some central bank officials. Political concerns appear to be weighing as well. In commodities, West Texas Intermediate Crude oil futures are up $0.40 or 0.5% at $81.23 a barrel. Gold futures are down $5.50 or 0.25% at $2,325.30 an ounce, while Silver futures are gaining $0.052 or 0.18% at $28.920 an ounce.