Price of oil volatile in morning trading

North American markets are drooping today as investors play a waiting game with the Fed and lower metal and oil prices weighed on resource stocks

Gains for bank stocks helped drive the financials group 0.9 percent higher, while the materials group, which includes precious and base metals miners and fertilizer companies, added 0.2 percent.

At 10:21 a.m. EDT (1421 GMT), the Toronto Stock Exchange's S&P/TSX composite index.GSPTSE rose 34.71 points, or 0.24 percent, to 14,782.90.

Aug 24 Canada's main stock index fell on Wednesday as lower metal prices weighed on mining stocks, offsetting gains for financials after one of the country's major banks reported slightly higher-than-expected quarterly results.

Meanwhile, the WTI fell nearly 2%, pressured by the unexpected increase in US crude inventory.

He noted that even if the members of OPEC agree on a production cap at its next meeting in September, it will still likely not be enough to inflate oil prices to more sustainable operational levels for crude companies. "They probably won't take the painful steps necessary to actually cut production".

The October crude contract was down US$1.33 at US$46.77 per barrel.

The loonie also slipped, down 0.24 of a cent to 77.22 cents U.S.

Stock futures for the September quarter on the S&P TSX index were up by 0.01% recently.

On Tuesday, the TSX had touched a one-week high at 14,796.56.

Royal Bank of Canada had EPS of $1.72, beating expectations of $1.70.

US crude prices were down 1.1 per cent to $47.59 a barrel as data pointing to a potential build in domestic crude stockpiles offset speculation of an output freeze by major oil producers. What will be particularly watched is whether she sheds any light on the central bank's thinking on interest rate hikes.

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