July 22 (Reuters) - Futures tied to Canada's benchmark

index nudged lower on Tuesday as market mood soured over the

fading prospects of a U.S.-EU trade deal, while investors

tracked corporate earnings to assess the impact of President

Donald Trump's tariffs on businesses.

Futures on the S&P/TSX index were down 0.2% at

1,622.80 points by 06:43 a.m. ET (1043 GMT).

The main Canadian stock index closed flat on Monday.

Trade negotiations appeared shaky after EU diplomats said

the 27-nation bloc was considering broader counter-measures

against Washington.

Prospects for an interim trade deal between India and the

U.S. have also dimmed, according to Indian government sources.

However, U.S. Treasury Secretary Scott Bessent said on

Monday the Trump administration is more concerned with the

quality of trade agreements than their timing.

Meanwhile, the Bank of Canada said in a survey Canadian

businesses see less chance of a worst-case tariff scenario but

remain cautious, while keeping hiring and investment in check.

In commodities, oil prices declined and gold prices

retreated from a five-week high. Copper prices drifted higher.

In corporate news, Alimentation Couche-Tard ( ANCTF ) said on

Monday it was resuming its share repurchase program days after

the Circle K-parent scrapped a $46-billion attempt to buy

Japan's Seven & I ( SVNDF ).

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